Sunway 163 Mall and The MET Corporate Towers: Which Is Best for Property Investment?
The Mont Kiara and Dutamas corridor has evolved into one of Kuala Lumpur's most sophisticated commercial ecosystems. As the area matures, two landmark developments have come to define its commercial landscape: Sunway 163 Mall (formerly 163 Retail Park) and The MET Corporate Towers.
For investors in 2025, choosing between these assets requires understanding a fundamental structural difference: Sunway 163 Mall represents an institutional retail asset (recently acquired by Sunway REIT), while The MET offers Grade-A strata offices available for direct individual purchase. This guide analyzes both properties based on valuation metrics, yield performance, and future growth catalysts to determine where the smartest capital is flowing.
1. Price Per Square Foot (PSF) and Entry Cost
The pricing dynamics of these two properties highlight the premium placed on Grade-A corporate infrastructure versus consolidated retail space.
Sunway 163 Mall: The Institutional Benchmark
Sunway REIT completed the acquisition of Sunway 163 Mall in October 2024 for RM215 million.
- Acquisition Price PSF: The purchase price translates to approximately RM 841 per sq ft based on a net lettable area (NLA) of 255,500 sq ft.
- Valuation Context: This pricing represents an 8% premium over the 10-year historical average for similar malls in the vicinity (RM 774 psf), reflecting its status as a high-performing asset with a 99% occupancy rate.
- Investor Access: Since this is now a REIT-owned asset, individual investors cannot buy strata retail units here; exposure is gained through Sunway REIT stock.
The MET Corporate Towers: The Direct Ownership Premium
The MET fills a gap for high-quality, ownership-based office spaces, commanding a significantly higher PSF due to its Grade-A specifications and "New Business Class" positioning.
- Transacted Price PSF: Secondary market listings and developer data indicate selling prices ranging from RM 1,217 to RM 1,600 per sq ft.
- Entry Price: Smaller units (e.g., 1,184 sq ft) are asking around RM 1.54 million, while full-floor plates (approx. 16,105 sq ft) can command up to RM 23 million.
- Value Proposition: The premium over retail space is justified by the building's Green Building Index (GBI) certification, advanced fiber-optic infrastructure, and status as the first stratified Grade-A office in KL Metropolis.
Verdict: Sunway 163 offers a lower valuation baseline (institutional pricing), while The MET commands a higher capital entry point typical of luxury corporate real estate.
2. Rental Yield and ROI Potential
Both assets outperform the general market, but they offer different yield stability profiles.
Sunway 163 Mall: High-Yield Stability
- Yield Performance: Sunway REIT anticipates an initial Net Property Income (NPI) yield of 6.5%.
- Sustainability: This yield is supported by a 99% occupancy rate and a diverse tenant mix, making it a "yield-accretive" asset for the REIT.
The MET Corporate Towers: Competitive Office Yields
- Yield Performance: Listings for tenanted units at The MET show gross Returns on Investment (ROI) between 5.3% and 6.08%.
- Rental Rates: Asking rents for office spaces range from RM 5.50 to RM 6.50 per sq ft.
- Tenant Quality: Returns are bolstered by high-quality tenants such as Siemens Healthineers and the Construction Industry Development Board (CIDB), ensuring reliable rental income.
Winner for Yield: Sunway 163 Mall (6.5% vs ~6.0%), though The MET offers direct control over the asset.
3. Target Tenants and Occupancy
The tenant profile dictates the resilience of the investment during economic downturns.
Sunway 163 Mall: The Lifestyle Hub
- Tenant Mix: Anchored by Jaya Grocer, the mall hosts over 100 brands including F&B outlets, health and beauty services, a cinema, and an ice-skating rink.
- Customer Base: It serves the affluent residential catchment of Mont Kiara, Hartamas, and Segambut, catering to expatriates and upper-middle-class families.
The MET Corporate Towers: The Corporate Nexus
- Tenant Mix: Targeted at multinational corporations (MNCs), government agencies (e.g., CIDB), and professional services.
- Segmentation: The tower uses a three-tiered model: "Executive" for startups/SMEs, "Premier" for regional offices, and "Prestige" for large corporations requiring full floors.
- Ecosystem: Tenants are drawn by proximity to MITEC (Malaysia International Trade and Exhibition Centre) and MATRADE, creating a business tourism ecosystem.
Verdict: The MET attracts long-term corporate leases (3-5 years), whereas Sunway 163 relies on consumer spending power.
4. Capital Appreciation and Infrastructure Catalysts
Both properties are set to benefit from the same major infrastructure upgrade: the MRT3 Circle Line.
The Connectivity Catalyst
- MRT3 Access: The proposed Sri Hartamas or Dutamas station is located within walking distance of both Sunway 163 and The MET.
- Impact: This rail connectivity addresses Mont Kiara's historical lack of public transport, likely driving capital appreciation for assets within an 800-meter radius of the station.
Asset Enhancement Initiatives (AEIs)
- Sunway 163: Sunway REIT plans to optimize the tenant mix and reconfigure floor space to elevate the shopper experience, which typically drives asset valuation upward over time.
- The MET: As the KL Metropolis master plan (RM 21 billion GDV) matures with the addition of hotels and retail hubs (Met Galleria), the value of early-phase offices like The MET is expected to rise due to the "cluster effect".
Winner for Growth: The MET Corporate Towers has higher appreciation potential as the surrounding KL Metropolis township is still developing, whereas Mont Kiara is largely fully developed.
5. Lifestyle Suitability and Ecosystem
Sunway 163 Mall: "Naturescape" Retail
- Environment: Features a "Naturescape" concept with lush greenery and water features, providing a resort-like ambiance.
- Convenience: It serves as a "third place" for the community, offering daily necessities alongside leisure, making it integral to the Mont Kiara lifestyle.
The MET: "3rd Space" for Business
- Concept: The development focuses on a "3rd Space" concept—integrating work with lifestyle. It includes a gym, wellness center, glass box function hall, and alfresco dining to promote work-life balance.
- Facilities: It boasts a 10-meter high grand lobby, destination control lifts, and Grade-A security, setting a new standard for business luxury.
Summary Comparison Table
| Feature | Sunway 163 Mall | The MET Corporate Towers |
|---|---|---|
| Asset Class | Retail Mall (REIT Owned) | Grade-A Strata Office |
| Price / Valuation | ~RM 841 psf | RM 1,217 – RM 1,600 psf |
| Rental Yield | ~6.5% (NPI Yield) | ~5.3% – 6.1% (Gross ROI) |
| Primary Tenants | Jaya Grocer, F&B, Cinema | MNCs (Siemens), SMEs, Govt Agencies |
| Ownership | Indirect (via Sunway REIT shares) | Direct (Strata Title) |
| Key Catalyst | MRT3 Sri Hartamas Station | MRT3 & KL Metropolis Growth |
| Status | 99% Occupied / Mature | Newly Completed / Growing Occupancy |
Verdict: Which Is Best for Investment?
The choice depends on your investment vehicle preference:
Choose The MET Corporate Towers If:
- You are an individual investor or SME owner seeking direct asset ownership.
- You want capital appreciation driven by the development of the KL Metropolis master plan.
- You prefer managing corporate tenants with longer lease terms and stable covenants (e.g., MNCs).
Choose Sunway 163 Mall (via Sunway REIT) If:
- You prefer hassle-free investing through the stock market (REITs) rather than managing physical property.
- You prioritize immediate, stable dividends (6.5% yield) backed by a mature asset with 99% occupancy.
- You believe in the resilience of neighborhood retail hubs anchored by essential services like grocery stores.
Final Thought: For direct property investment, The MET Corporate Towers is the superior choice as it allows for physical ownership in an up-and-coming business district. Sunway 163 Mall serves better as a benchmark for the area's commercial health or a defensive play for stock market investors.
Frequently Asked Questions (FAQ)
Is Sunway 163 open to public investment? You cannot buy individual retail units, but you can invest via Sunway REIT stocks to gain exposure to the asset's rental income.
What is the price of The MET Corporate Towers? Prices usually range from RM 1,217 to RM 1,600 per sq ft depending on the unit size and floor level.
Related Resources
- For Retail Investors: Read our analysis on the Mont Kiara Property Market to see how commercial assets impact residential values.
- For Location Analysis: Check out Mont Kiara vs Desa ParkCity for a deep dive into residential and commercial growth trends in this corridor.
- Commercial Listings: View current Commercial Properties in KL.
