Affordable Yet Evolving: How the ETS3 Line Is Reshaping Kluang’s Property Market

PETALING JAYA, Oct 16 — The arrival of the Electric Train Service 3 (ETS3), connecting Kuala Lumpur Sentral to Johor Bahru Sentral, is breathing new life into Kluang’s property market. Known for its charming coffee culture and affordability, Kluang is emerging as one of Johor’s most promising property destinations — particularly as enhanced connectivity makes commuting to major urban centres easier than ever.

The KL Sentral–Kluang route, launched on August 30, has already begun driving interest from homeowners and investors alike, while the full connection to Johor Bahru is expected to be operational by the end of this year. This transportation milestone is positioning Kluang as a growing regional hub in southern Malaysia.

Affordable Foundations in Mature Townships

Despite rising construction costs nationwide, Kluang’s mature residential areas continue to offer exceptional affordability. Based on EdgeProp’s EPIQ data, average terrace house prices in key taman neighbourhoods stood at RM246,000 in 2023 and RM245,000 in 2024, with per-square-foot (psf) values inching up from RM141 to RM152 during the same period.

Recent sales illustrate this steady demand:

• A terrace house in Taman Dato’ Amar Diraja (1,540 sq ft) sold for RM200,000 (RM129.87 psf) in May 2025.

• Homes in Taman Koperasi Muhibbah transacted between RM250,000 and RM300,000 (RM162–RM195 psf).

• A Taman Sri Paya unit fetched RM280,000 (RM181.82 psf) in April.

This sub-RM300,000 segment continues to serve as an important entry point for young families and first-time homebuyers — a critical base for sustainable housing growth.

Lifestyle Upgrades at Taman Akasia

At the other end of the spectrum, Taman Akasia (Acacia Heights) exemplifies the rising demand for lifestyle-oriented terraces within gated communities. Here, average property values climbed from RM604,000 in 2023 (RM207 psf) to RM653,000 in 2024 (RM219 psf).

Between October and December 2024, terrace units ranging from 2,538 to 2,982 sq ft were transacted between RM560,000 and RM634,000 (RM212–RM250 psf) — clear evidence of upgrader demand for larger, modern homes with enhanced security and community amenities.

Mid-Market Opportunities and Balance

The mid-range segment, although showing some price moderation, remains stable. Average terrace transactions fell from RM384,000 in 2023 to RM303,000 in 2024, with psf values easing from RM182 to RM152.

Still, market activity has remained firm:

• Taman Delima II: 1,650 sq ft terrace sold for RM440,000 (RM266 psf).

• Taman Pelangi Mas: 1,593 sq ft terrace fetched RM420,000 (RM263 psf).

This segment appeals strongly to families seeking upgrades without financial overreach, balancing affordability and lifestyle aspirations.

Strengthening Entry-Level Affordability

Complementing the private market are Rumah Mampu Biaya Johor (RMBJ) projects, such as Taman Akasia RMBJ, which offer starting prices from RM150,000. These developments maintain inclusivity by ensuring that affordable homeownership remains accessible to lower- and middle-income groups.

Market in Transition, Connectivity as Catalyst

Although only four new launches have been recorded so far in 2025, Kluang’s property market appears to be transitioning toward a more diversified, value-driven phase. The introduction of ETS3 is a major catalyst — strengthening accessibility, encouraging migration, and unlocking future investment potential.

For investors and developers, the trend mirrors opportunities seen across central Malaysia. As Kluang gains connectivity to major corridors, investor confidence in industrial land in Selangor, commercial property in KL, and industrial property in the Subang area continues to grow. Likewise, rising regional mobility is expected to support businesses expanding into office space in Bukit Jalil and factories in Puchong, creating an interconnected property ecosystem from the Klang Valley to southern Johor.

With affordability, lifestyle options, and improved transportation all converging, Kluang’s property landscape is quietly evolving from a modest town into a well-connected, opportunity-rich market — one that reflects Malaysia’s broader shift toward balanced and sustainable regional development.