SP Setia bets on Johor boom, green industry and 2027 Budget homebuyer incentives

KUALA LUMPUR: SP Setia Bhd expects the 2027 Budget measures supporting homeownership, green investment and construction industry resilience to reinforce the property sector's growth prospects, with Johor emerging as a key beneficiary of deeper economic integration with Singapore.

President and chief executive officer Datuk Zaini Yusoff said the government's continued emphasis on the Johor-Singapore Special Economic Zone (JS-SEZ) and regional connectivity complemented the group's established presence in Johor and its growing industrial development portfolio.

He said the continuation of green investment incentives under the Green Investment Tax Allowance would complement its efforts to incorporate sustainability into the development of Setia Fontaines Industrial Park.

"The continued emphasis on green investment aligns with our plans for Setia Fontaines Industrial Park as an upcoming green industrial park.

"Together with the momentum in Johor and the JS-SEZ, these initiatives support our broader strategy to grow SP Setia's industrial platform alongside our core township business," he said in a statement.

On the residential front, Zaini welcomed the extension of stamp duty exemptions for homes priced up to RM750,000 until 2030, saying the measure would improve homeownership affordability and support housing demand.

He said the measures reflected the government's continued focus on home ownership, infrastructure and investment-led growth.

"We welcome the 2027 Budget and the government's continued focus on home ownership, infrastructure and investment-led growth.

"The extension of the stamp duty exemption to homes priced up to RM750,000 is a meaningful measure to support homebuyers and residential demand," he said.

From the construction perspective, the group welcomed the reintroduction of the Variation of Price (VOP) mechanism to help the industry manage fluctuations in key inputs, including diesel and bitumen.

It said the mechanism would provide greater certainty for contractors and support a more resilient construction ecosystem.

However, the group said continued attention to construction and housing development costs was necessary to ensure quality homes remained accessible to Malaysians.

It added that improving productivity, procurement efficiency and overall delivery costs would be crucial to balancing affordability with the sustainability of the property and construction sectors.

SP Setia also supported the government's longer-term objective of increasing affordable housing supply under the 13th Malaysia Plan, saying public-private collaboration could help deliver quality, sustainable and well-connected communities.

"Overall, the 2027 Budget provides a constructive foundation for the property and construction sectors, balancing support for home ownership with measures to encourage investment, sustainability and industry resilience.

"SP Setia looks forward to contributing to Malaysia's next phase of sustainable economic growth," said Zaini.