Abandoned property projects..

The above picture ia taken from a hotel room in Malacca. It is an abandoned property project, most likely the victims of the last economic recession. Just estimate the money got stuck inside such a project and multiply the thousands across the country? It may runs into billions of ringgits!

How do we plan for such a business risk?

Comments

[mhi]

Abedib,

in every project there should be both financial and non financial item to be implemented. From a well prepared project plan we can assess the business risk. We need to have a backup plan as well to be able to absorb any shortcomings.
There is al ot to say on this, though.

mhi

[atok]

well, i guess many finaciers of such abandoned projects got their big loans based on (only) verbal guarantees from some big shots. then, when things went not as planned, there would be nothing to fall onto, as they were only 'cakap-cakap angin'.

psss...half of the loan actually went to the new Merc and the new villa, plus some holidays abroad. oh, not to forget, the (holiday) apartment bought when abroad.