Klang Valley residents, especially in the western corridor, have good news for you! Light Rail Transit Line 3 (LRT3) or now known as the Shah Alam Line is officially operational starting today. Even more shocking, you can use this service for FREE for a month!
The 37.8 kilometre (km) line connecting 20 stations from Bandar Utama to Johan Setia is expected to be a crazy new catalyst for economic growth and the local property market.
The new network also connects users to other major corridors via the Kajang Line MRT interchange station in Bandar Utama and the Kelana Jaya Line LRT in Glenmarie. It is estimated that around two million residents will benefit from easy access to employment, education and commercial centres.
Which Real Estate & Business Sectors Will Get ‘Durian Crashes’?
According to Senior Consultant of Global Asia Consulting, Samirul Ariff Othman, the opening of the LRT3 will boost the potential value of assets near the station, especially:
High-rise residential (Condominiums/Apartments)
Small-scale commercial and office lots
Food and beverage (F&B) premises and mixed development
Previously car-centric areas such as Shah Alam and Klang will transform into dynamic public transport economic corridors. Hot spots such as Section 7 Shah Alam, Shah Alam Stadium area, Bandar Baru Klang, UiTM Shah Alam, Glenmarie, and Bandar Utama are expected to see a sharp increase in property demand.
Not only that, this overflow of user flow will boost local businesses such as convenience stores, clinics, laundries, tuition centers, coworking spaces, room rentals, and last-mile services (bus/e-hailing).
But Wait… Property Price Increases Are Not ‘Automatic’!
Although it seems bullish, Samirul reminds investors that property value increases do not happen automatically in all places. It relies heavily on the Transit Oriented Development (TOD) ecosystem, including:
Actual walking distance to the station.
Safe and covered pedestrian walkways.
Park and ride parking facilities.
The level of safety and population density of the surrounding area.
“Just being close to an LRT station is not enough. The area needs to have an ecosystem that supports mobility to truly enjoy the benefits,” he said.
Academic View: Productivity Up, Cost of Living Down
Meanwhile, UiTM Senior Lecturer, Dr Mohamad Idham Md Razak, explained that in the medium to long term, LRT3 will help increase workforce productivity as travel costs become cheaper and travel times shorter.
He added that the trend of previous rail projects (LRT and MRT) has proven that rental demand and house prices within walking distance to the station will increase gradually. However, authorities and developers need to ensure that integrated planning such as the provision of affordable housing and public amenities are put in place so that these economic benefits can be felt by all levels of society in an inclusive manner.
Conclusion for you: The opening of LRT3 today not only makes it easier for you to go to work without the headache of facing jams, but it is a green light for property investors and micro entrepreneurs to start scouting for opportunities at strategic stations.
Those of you who live in the Shah Alam or Klang area, are you ready to raid the free LRT3 this month? Is there a station near your home? Try sharing in the comments section below!
