KUALA LUMPUR: MBSB Investment Bank Bhd (MBSB IB) remains sanguine on the property sector, given the healthy buying interest in the second half of 2025, with the Johor-Singapore Special Economic Zone and the Johor Bahru–Singapore Rapid Transit System continuing to be catalysts to the sector.
In a note today, the investment bank said the recent overnight policy rate (OPR) cut will boost buying sentiment for properties.
“Hence, we maintain our positive stance on the sector, with Mah Sing Group Bhd, UOA Development Bhd and Matrix Concepts Holdings Bhd as our top picks.
“We like Mah Sing as its strategy of selling affordable residential property will sustain its new sales growth while the recent OPR cut will increase affordability among buyers, specifically first-time home buyers,” it added.
MBSB IB said it also favours UOA Development for its decent dividend yield of 5.6 per cent, compared to the compressed Malaysian Government Securities (MGS) yield of 3.4 per cent and average real estate investment trust (REIT) yield of 4.4 per cent.
“Besides, UOA’s recent maiden venture into the Johor property market will support new sales growth in the future.
“Meanwhile, we see a strong catalyst from MVV City to Matrix Concepts, which will provide an earnings catalyst on top of the stable contribution from Bandar Sri Sendayan. Besides, the dividend yield of Matrix Concepts is attractive at an estimated six per cent,” it added. - Bernama
