Where and how to tap into the market?
Kuala Lumpur (KL), the capital and economic hub of Malaysia, is on the central west coast of the Peninsula Malaysia. Home to about 1.6 million people and accounting for about 6% of Malaysia’s population, KL is directly governed by the federal government, despite being located within the state of Selangor. Klang Valley, also known as Greater Kuala Lumpur (GKL), has an estimated population of about 7 million and is the most developed retail market in Malaysia. As such, it is the obvious entry point for foreign retail operators and investors.
GKL is home to most of the high-end malls in Malaysia, including Suria KLCC, Pavilion Kuala Lumpur, Starhill Gallery, Mid Valley Megahall, Sunway Pyramid and The Gardens Mall. According to real estate consultancy Knight Frank, the amount of retail space in GKL was approximately 45 million square feet in 2013. It is expected to expand rapidly in 2014, with several large projects due for completion.