Johor’s property market is experiencing a notable resurgence, driven by strategic infrastructure projects and cross-border economic collaboration. The Johor-Singapore Special Economic Zone (JS-SEZ) has emerged as a key catalyst, fostering investor confidence and reshaping demand dynamics across residential, commercial, and industrial sectors. Unlike past cycles of speculation, this growth is underpinned by tangible developments, including improved connectivity and regulatory incentives.
The residential segment is witnessing a clear divide, with landed properties outperforming high-rise units. Demand for landed homes, particularly in well-established townships, has surged due to Singaporean buyers and local upgraders. While high-rise oversupply remains a challenge, absorption rates are improving in areas with strong transport links, such as those near the upcoming Rapid Transit System (RTS) Link. Developers are now focusing on strategically located projects, aligning supply with actual demand rather than speculative trends.
In the commercial sector, office spaces in Iskandar Puteri and Medini are gaining traction as cost-effective alternatives to Singapore. Flexible workspaces and regional expansion by Singapore-based firms are driving demand, though older buildings in Johor Bahru’s central business district continue to struggle. Meanwhile, the retail sector is thriving, buoyed by cross-border shoppers from Singapore and domestic recovery. The RTS Link, expected to significantly boost commuter traffic, will further amplify retail spending, reinforcing Johor’s role as a binational retail hub.
Industrial properties remain the standout performer, with logistics hubs like Nusajaya and Pasir Gudang attracting strong investor interest. The JS-SEZ is set to enhance cross-border logistics efficiency, solidifying Johor’s position as a regional trade and manufacturing hub. While overhang concerns persist, particularly in high-rise residential units, the market is gradually rebalancing as developers adopt a more measured approach to new launches.