Hi Mack...as a newbie, one needs to have enuf bullets to last the gun battle...looks like this is going to be a long one...
IMHO...there r just too many question marks on this project....

actually if you look at the condo unit (besides sunway university college) and the condo unit (opposite Segi university college in kota damansara), even though quite a number of students staying in 1 unit, it's still properly maintained.

rental of 2k for the entire unit is not an expensive thing, considered it's fully furnished. morever, every 4 years, the developer will repack/refresh the furnitures/walls/etc if it's old or damaged.

so rather than a student rent a 500sf for 1.8k, it might be attractive to rent this unit too.

well, it's debatable la. both also right, both also has pros and cons. depending on how you see it only.

The Andaman and Meda Inc is owned by the same people. If you have known about the history of the of this developer, you wouldn't want to touch their properties. (google under MEDAINC, you will get all info)
Their latest finished project a condominium in Kota Damansara, and many things have not developed according to plan and their property management is totally a disaster.
My advice here, DON'T EVEN THINK ABOUT THIS PROJECT.
The actual value of this ARC@Cyberjaya probably worth only RM200/sqft for an apartment like this in Cyberjaya. Totally no potential of appreciation (likely to depreciate, because as student hostel) as they are selling at average RM400/sqft, your GRS may not even to cover your loan installment.

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Added on March 14, 2011, 4:01 pmhttp://biz.thestar.com.my/news/story.asp?file=/2011/2/12/business/8026091&sec=business

last time Andaman Group-Pharma Exel now APM-Maju Puncakbumi. New project new company, so no previous bad records. But same people, Teoh

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Added on March 23, 2011, 11:40 amRead this before you buy

http://andaman-group.blogspot.com/

This post has been edited by cova: Mar 23 2011, 11:40 AM

98% and above of Block A & B already sold out @ iProperty Expo today. But I heard they are launching Block C & D soon.

“We can afford to guarantee the gross rental rate because we have a contract with the Multimedia University to provide hostel like accommodation for first and final year students,” Tiew points out.

This guarantee may only be possible as & when MMU has the supply & enuff to go ard - 25 yrs sufficiency. As mentioned before, one also has to factor blackout period but who guarantees the rental during such periods -the developer? One then also questions if they'll be ard for 25 yrs. Are they a RM2.00 company? What indeed are the conditions of guarantee & their capacity to guarantee?

I've booked a unit... was told that the renewal of contract after 4 years, it cost you 3 months rental to replenish the furniture, wall, etc..

plan to get an unit,any advice?kinda confused!wether go for setapak green or arc?

to stay, rent or investment? budget? where you are more familiar?

According to the sales agent I met that day (iProperty Expo), we cannot buy for own stay, it is for investment type and the buyer will have a contract with the developer and MMU (to rent to the student). Unless they want to cancel the contract with the developer.

This post has been edited by inoue_chiaki: May 7 2011, 12:46 AM

I have booked a corner unit also.
Went to the site the next day and took some photos. The location is 5-10 mins walking distance from MMU (ard 500m, i guess).
There are few blocks of condo right next to MMU as you can see from the photos and The Arc is just opposite the condos. There is a Taman Tasik not far away too.
I dun see any shop lot ard MMU. Tomorrow might go and survey again. Lim Kok Weng is about 2-3km away.

for investment,budget rm300k to rm500k

Have booked a unit and was a bit regret for doing so honestly. Was told by developer to pay 5% DP upfront even before signing of SPA within a week from booking. i've booked the corner unit (biggest s.f.)

For potential investor on this project, I wish to highlight that :
1. The only End-financing is UOB Bank, other bank proceed on ad hoc basis with unfavorable interest rate or stringent credit policy. I was told that even if you get only 80% financing, still have to pay the developer RM5300 for quiting the booking, condition mentioned in booking form upfront.

2. I'm working with UOB Bank and was told that our end financing team, the End financing team not comfortable with the loan, but the tie-up was done by bridging loan (Business Group - surpass assessment by Director, End-financing group).

3. The project consist of 1000 units of condo, while no issue on completion risk. however, appreciate in asset value is questionable in view of possible over supply of similar residential property in cyberjaya. Developed with aim to be hostel doesn't help the potential appreciation.

4. The project is good as rental tools, as good as the rental income enough to cover installment payment. however, after deduction cost of furniture (Rm50,000) and discount, the net rental over property value is about 5++%, which is very average /below average. By locking in the rental pricing for 4 years, not much appreciation anticipated.

Only if I've done enough homework before commiting ... It's escalating commitment for me.

Do let me know any gurus view on this, I wish to know....

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Added on May 11, 2011, 4:48 pminoue_chiaki, thank you so much for sharing. As a buyer, I think you share the same worries....

This post has been edited by Edmund86: May 11 2011, 04:50 PM

I'm very suprised that UOB has low confidence in this project. They seem to have plenty of projects where they are the end financer. If they have doubts with this project, I wonder if they have doubts with all the other projects too - ie. Shaftsbury, Serin, etc?

I met one of the sales agent yesterday and i managed to dig some interesting fact. For those who planned to invest on this project, you can forget about it. Let me top up something that edmund has missed out. The 8% of 25yrs contract they promised got max rate which is only 10%. Even the economy is damn good and the rental keep on appreciating but still you can get is 10% max from the first day you bought from developer. Do bear in mind maintenance fees will keep on increasing from year to year. But your rental is still maintain. One day you will find your rental is not enough to cover your monthly installment. What to do next? Plan to sell it? Do you think any investor will buy a property where the sales price already increased but only can get same rental from the day you bought? Well, im not saying they cheating, but 100% sales agent wont disclose until you keep on asking and asking.

That place is very near where I work and after working in Cyberjaya for 6 years, I am still thinking twice about a project like this.

Anyway, I share out all the photos I took last time... Hope you like it...








This post has been edited by SmallPotato2011: May 11 2011, 10:09 PM

UOB is End financing of Shaftsbury and Serin, and financing these two project favourably. UOB still offer quite competitive rate of BLR-2.3 for The Arc.

i have the same concern as you as well, but what the sales folk told me is that, the existing contract of 8% meant for first 4 years, and the subsequent 4 years have 8 to max 10%. So for our third 4 years renewal, it should be based on market rate alridi. meaning the developer most likely will earn more on our second 4 years, since we are capped on 10%, but on the third 4 years onward, we should have an upper hand. else i dont think i want to consider this project at all in the first place.

i've yet to see the terms & conditions. so far it's verbal said by the developer only. the signing of S&P has been postponed again (supposingly this week). hopefully they'll come out with something more attractive, and not something stupid like on the third 4 years, we are still capped at 10% only. then, this is a real CON case already. else, i think it's fine.

Im very sure the sales girl told me max 10% for 25yrs. Unless herself also not so sure and gave me the wrong info. That's why straight away i turned down and look for other places. Tomorrow i will call their office again to confirm about this.

taufufa, how's ur confirmation about the rental?