STARBIZWEEK, Saturday 21November 2015

Biz

8 Conlayupsthe ante> Pages 18 & 19

KSK Group Bhd chairmanTan Sri Kua Sian Kooi withdaughter Joanne who is KSKCEO & KSK Land Sdn Bhd MD

18 bizproperty 19STARBIZWEEK, Saturday 21November 2015STARBIZWEEK, Saturday 21November 2015

By GURMEET KAURgurmeet@thestar.com.my

I F 8 Conlay’s RM3,200 per sq ft (psf)sell-ing price has set tongues wagging forpossibly setting a new pricing record in

luxury living, here is another developmentto add to the several “firsts” the projecthas notched since it was announced sometwo-and-a-half years ago.Kempinski Hotel Kuala Lumpur, which

is a component of 8 Conlay, has been rec-ognised as an entry point project underthe Tourism National Key Economic Area(NKEA) of the ETP - the Government’s initi-ative to propel the economy into high-in-come status by 2020.Kempinski Hotels, Europe’s oldest luxu-

ry hotelier, is the hospitality partner of 8Conlay’s owner and property developerKSK Land Sdn Bhd.The hotelier will provide services for

the project’s branded residence towers aswell as manage the hotel tower.“We got it (the endorsement) recently,”

declares a proud Joanne Kua, who is themanaging director of KSK Land.According to the 30-year-old, the recog-

nition is a sign of “quality assurance” thatwill place 8 Conlay on the global map.“Even though we are in the ETP because

of Kempinski Hotel Kuala Lumpur,Kempinski is also servicing our brandedresidence.“This means there is a level of service

that we need to adhere to for the entiredevelopment. This has always been whatwe have been reiterating at KSK Land,where every development we undertakehas to be of good quality, and the servicewe provide to customers is always on topof our minds,” Joanne tells StarBizWeek.“Being the owner of Kempinski Hotel

Kuala Lumpur, we are proud to be push-ing the boundaries by bringing theKempinski brand into the Malaysian mar-ket because we are one of the few - if notonly - fully integrated branded residencedevelopments in the KLCC area.”Kempinski Hotel Kuala Lumpur is slated

to open its doors in 2020, coinciding inci-dentally with the planned “Visit MalaysiaYear” in that same year.In terms of numbers, Kempinski Hotel

Kuala Lumpur is projected to bring inRM19.8mil in gross national income orGNI in the year 2020, which is expected togrow in the following years. Job-wise, thehotel is expected to create some 780employment opportunities when it opensits doors in January 2020, while committedprivate investments amount to RM360mil,shares Joanne. This RM360mil is the costof developing the hotel minus the landcost.Shedding more light on the ETP recogni-

tion, the KSK Group director for corporatestrategy and investments Pankaj C Kumarsays that these numbers have been audit-ed by the panel of auditors at thePerformance Management and DeliveryUnit or Pemandu, the driver of the ETPinitiative.“We started engaging with them early

last year. Under the ETP’s Tourism NKEA,the Government’s plan is to increase thenumber of four- and five-star hotels, aswell as increase the room rate in Malaysia,which is still relatively lower as comparedto the region. They also want to createmore vibrancy within the KLCC and BukitBintang areas,” says Pankaj.Kempinski Hotels chief executive officer

(CEO) Alejandro Bernabé says the ETP rec-ognition raises the profile of its upcominghotel in Kuala Lumpur. “For us, this cre-ates even bigger expectations not from theconstruction point of view, but from thedeliverance of (service) expectations. Withthe opening of the hotel in 2020 coincidingwith a planned Visit Malaysia Year, wehave to ensure we get it right from dayone, as we cannot afford to let the honourof the country down,” he says in the jointinterview. Bernabé was in town for thelaunch of 8 Conlay’s signature sales galleryonWednesday. During the launch, phaseone of 8 Conlay’s branded residence unitsknown as YOO8, serviced by Kempinski,was officially open for sale. A privateviewing for a select few of around 200comprising the who’s who of the corporatecircle was held on the same evening of the

launch.With piling works having begun at the

four-acre site, it seems to be all systems godespite the expected slowdown seen in theproperty sector by analysts.And in what is seen as a “coup of sorts”

in positioning and differentiating 8 Conlay,the company has teamed up with thecrème de la crème of brand partners likeinternationally-celebrated design companyYOO, local architect Ar Hud Bakar andBangkok-based landscape design firmTROP other than the world-class hotelmanagement services of Kempinski.

8 Conlay unveiled8 Conlay owes its name to the auspi-

cious address it sits on in Kuala Lumpur’sGolden Triangle. The development com-prises of two YOO-interior designed brand-ed residence towers of 57- and 62-storeyblocks that will be connected via two skybridges on levels 26 and 44. The develop-ment is complemented by a 68-storey five-star Kempinski Hotel, serviced suites anda lifestyle retail component.YOO8 comprises two spectacular towers

of 1,062 luxury branded residence, rang-ing from one to three-bedroom units.Tower A of YOO8 will feature 564 units

covering 700 square feet to 1,308 squarefeet selling at an average price of a whop-ping RM3,200 psf.According to the company, 70% of

Tower A has been reserved, with 80%comprising Malaysians.Meanwhile, Tower B of YOO8 will fea-

ture 468 units to be launched some timenext year.

Can 8 Conlay usher KSK intothe competitive world ofproperty?8 Conlay’s selling price of RM3.200 psf,

which is RM500 psf higher than the indica-tive RM2,700 psf it was only recently look-ing at, begs the question of whether it cansell in a soft market. Being the maidenventure for KSK Land, all eyes are on thecompany and its young and petite headhoncho, Joanne. After all, 8 Conlay’s entryinto the branded residence space is com-ing after a hiatus of similar launches inthe city.KSK Land is the property arm of KSK

Group Bhd, which has insurance as itsother core business. KSK Group was for-merly known as Kurnia Asia Bhd that wasprivatised in 2013.Joanne, who is also KSK Group’s CEO, is

the daughter of the 62-year-old KSK patri-arch and executive chairman Tan Sri KuaSian Kooi.While Joanne is playing a bigger role as

the face of property in the KSK stable, it isno secret that senior Kua remains the driv-ing force of the group.KSK had sold its Malaysian insurance

business in 2013 and diversified into prop-erty in the same year. It still operatesinsurance businesses in Thailand andIndonesia.A quick check with property consultants

indicate that the Banyan Tree branded res-idence is being transacted at pricesbetween RM2,500 and RM3,000 psf, whileSt Regis was approaching the RM3,000 psfmark as at July estimates.As for Four Season’s Place, a property

consultant puts the going figure betweenRM3,000 and RM3,500 psf. “At RM3,200psf, 8 Conlay is trying to position itself inthe likes of Four Seasons. However, FourSeasons sold its units much earlier and itwould be interesting to see if 8 Conlay isable to match Four Seasons, given the cur-rent market situation,” says the propertyconsultant.Joanne, however, remains optimistic

that 8 Conlay would do well and prove thesceptics wrong.“The price is a reflection of interest

coming from the market. At the sametime, if you were to compare what’saround the KLCC area, the pricing will jus-tify the product.“In terms of value, our location on Jalan

Conlay is a strong point as in the brandedresidence market, buyers buy for location,which itself is capital preservation,” shesays, pointing out that branded residencescommand a 30% higher value than luxuryapartments based on a recent KnightFrank report.The disproportion between local and

foreign buyers is due to the lack of mar-keting so far. “With the launch of the salesgallery, we are only now officially goingout to market. We are eyeing all major cit-ies like Singapore, Shanghai, Beijing,Taipei, Korea, Hong Kong, Japan and theMiddle East.”The project is eyeing an equal spread of

local and foreign buyers.Locally, she shares that interest has

been coming from surprisingly “youngprofessionals who are well-travelled andknow of Kempinski”.“A branded residence is something one

buys for capital appreciation for the longterm. The buyers are a discerning lot andyearn to have a certain lifestyle.”In terms of benchmarking, Joanne says

that 8 Conlay is being benchmarked withother similar branded residences aroundthe world and that prices in Malaysia arestill relatively on the low side.“If you look at branded residences in

London, they are really about infusingthree components. One is a five-star luxu-ry service provider which you cannotdeviate from. The second is the design ele-ment. When you partner a good name fordesign, buyers feel “safe” knowing thatwhat is to be given is of a certain qualityand level.“The third is the architecture compo-

nent, which often tends to be overlooked.But people who buy a branded residenceare discerning buyers who look for offer-ings that are limited and unique.”

A unique propositionJoanne describes it as providing a seam-

less experience for buyers all the wayfrom the outside to the inside.“When the thought process began to

develop 8 Conlay, we looked at the brand-

ed residence space around the world andasked ourselves what was really availablehere. This is when we decided that we hadto differentiate ourselves from the restand would be able to do it,“ says Joanne.This in essence sealed the company’s

partnership with Kempinski. “What isunique about Kempinski is that in everyhotel in the different cities it operates,there is a combination of its heritage andthe owner’s identity, which I think is astrength many hoteliers don’t have. That’sone of the reasons why we like Kempinskibecause of the flexibility that allows forboth parties’ personalities to stand out.That makes a very good hotel,” saysJoanne.She shares that the affinity to Kempinski

is not altogether a new idea to KSK.“The (Kua) family has had experience

with staying at different Kempinski Hotelsas we travelled a lot. So, when we werelooking to partner a hotelier, Kempinskinaturally popped into our chairman’smind fairly quickly,” she says.At the same time, Kempinski was also

scouting for opportunities in KualaLumpur as part of its expansion into thispart of the region.“Kempinski is quite exclusive. We

choose our projects very carefully andmake sure we work with partners thatshare the same common values.“We are looking for exclusivity and

authenticity and benchmark ourselveswith the top residences in the worldbecause customers who buy these resi-dences have choices being well-travelled,”adds Kempinski’s Bernabé.He reckons that having other branded

hotel residences around 8 Conlay is notcompetition, but rather a good thing forthe person who lives there because “if youlive in a branded residence, you wouldwant your neighbourhood to be of thesame calibre”.

Drawing strength frombrandpartnersJoanne says 8 Conlay’s strength is the

diversity of the international brand part-ners it has teamed up with, which wouldserve as an advantage as it markets over-seas.“Tower A is designed by Steve Leung

and YOO. Steve Leung is akin to the“Andy Lau of design” in Hong Kong andChina, while Kempinski has a strong pres-ence in the Middle East and China,” saysJoanne.“For interior design, we have YOO

which is not new to the branded resi-

dence segment. It knows what it means totake on the little details that people don’tsee in space optimisation. This is why wemarket our residence fully furnishedbecause that is the strength we want toshow in one of our brand partners.“And as far as the Kempinski name for

service is concerned, you can only experi-ence it if you have stayed in one of theKempinski Hotels and understand theservice standard it brings to the table.”Incidentally, for Kempinski, YOO, Steve

Leung and TROP, this is their first time inMalaysia. “The good thing about this isthat it gives us a fresh pair of eyes, wherewe can innovate and do something differ-ent.”Joanne says the company is also not

strategising to compete with other playersfor its retail component. “In fact, we likeit that Pavilion is close to us because itprovides options for our buyers.“We are not building a mall, we’re build-

ing a retail lifestyle quarter. We are goingwith the design first, as it needs to comple-ment the whole development and be anattractive point on its own,” she says.

Taking a leaf out of itsinsurance bookJoanne believes that 8 Conlay’s unique

concept will pan out as planned.“When we conceptualised the project,

our chairman Tan Sri Kua made it clearthat he wanted to grow into a conglom-erate. It’s not that we woke up one morn-ing and decided that we wanted to gointo property. The root of our business isin insurance, which is a long-gestationproject. There is no denying that proper-ty is also for the long term, so there is noright or wrong time to go into this busi-ness.“In insurance, we come from a base

where it is all about customer service.So, when looking at property, we alsolooked at it from a completely differentangle ... we put ourselves in the custom-er’s shoes and decided what we could dodifferently.“When we decided which direction we

wanted to go into in property, the mes-sage was very clear - to make sure weadded value to the customer.”“Creating extraordinary living spaces

is what we do. KSK Land is formed onthis philosophy and our job here is tocreate something extraordinary for 8Conlay.”On her taking on a mammoth project

at a relatively young age, Joanne saysshe does not see her role from a genderperspective. “Any CEO would face thesame challenges as me. The importantthing is mutual respect, and in KSK, weare a family. We work together and cele-brate together.”

Flexibility: 8 Conlay units have the flexibility that allows residents to live their story the way they desire.

Water theme: a unit designed around the ‘water’ element. upon entering, one is treated to themagnificent view of KL City Centre beyond the foldable doors.

KSKLandupsthe antewithiconic 8 Conlay

Fresh from announcing that its branded residencefor Tower A at 8 Conlay project will be sold at a

record RM3,200 per sq ft, Kempinski HotelKuala Lumpur has now been recognisedunder the Government’s EconomicTransformation Programme.

Joanne: ‘Price is reflection of interest.’ Bernabé: ‘Kempinski Hotel Kuala Lumpur inthe etP raises the hotel’s profile.’