However, local Johorean developers are still important, given their present strategic landbank holdings, it said.
MIDF also said Johor contributes up to 50 per cent of SPSB's revenue.
"The development of SP Setia's high-end products with higher profit margins, especially its Setia Tropika and township development of Setia Eco Park, will continue to be its major earnings contributor," it said in its research note today.
Apart from the location and well-placed infrastructure, the premium pricing by SPSB is justified with the inclusion of new features such as lifestyle amenities, reflection ponds and a central gated system.
By remaining the southern region market leader, MIDF reaffirms its "neutral" call for SPSB with an unchanged target price of RM3.00.
By Bernama
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