Took a short retreat to Genting Highlands over the weekend and here are some of my observations:
1) Although the hotel occupancy rate is full, the casino patron is mainly made up of elderlies who do not have access to online betting. Makes me wonder whether this business can continue to shine after 10 years.
2) No crowd in both indoor and outdoor theme parks.
3) Restaurant business is really good. (Not sure how OWG performed in the latest quarter)
4) Since I have friends participating in NCT Alliance's private placement, another friend who bought a house at Genting Permai, and my remisier is very bullish on Tropicana Corp's Grand Hill project, I decided to drive around Genting Highland and understand the property market. The first thing that comes to my mind is that massive land clearing is happening.
Massive Land Clearing spotted
5) I believe the demand for spaces at the top of the mountain will remain high. Projects located on top include Ion Delemen by NCT and Antara by Aset Kayamas. More bullish for Antara as they have a link bridge connecting it. If you would like to gain a proxy for this project, Kanger could be a proxy for it.
Source: Edge Prop
6) As for the mid hills project, personally I think there is a lack of entertainment and the weather is not cool. Despite the great sales performance from property developers who has projects there, I think this is just a one-off event where many buyers are semi-retirees who would like to take a break after working so hard for years. A similar situation to Phoenix, Arizona property boom, where US retirees are looking for a city with ample sunlight.