The investigation on the existence of floor premium in condominium market based on the coastal amenities / Az Yasmien Sufea Azmila

Condominiums, are a popular housing option, especially in urban areas due to the density of population that increases from time to time. The idea is that properties located on higher floors of a building may command higher prices than those on lower floors due to better views, reduced noise, or increased privacy. However, premium prices based on floor level have received less attention in Malaysia, while the demand for condominium housing is very high and the price premium is capitalized based on the intangible value of the coastal nowadays. The aim is to establish the spatial model that coastal amenities may capitalized to condominium prices, based on their floor level. This studied focus on the areas in Batu Feringgi and Georgetown, Penang to investigate the respective issues. The objectives are organized to identify the coastal amenities preference in the condominium market, investigate the spatial correlation of condominium price with floor level, and determine the floor level premium based on coastal amenities value. The best models that have been determined in this study were spatial error model based on the satisfactory explanatory power through the R2 value, 0.708059 and 0.514203. This study also finds that unit level for premium in Batu Feringghi is more significant, 47.61% than Georgetown, 37.09%. The findings of this study have provided a comprehensive and factual measure of the impact of coastal amenities on condominium prices, which will be indispensable for any real estate investor looking to make informed decisions.