KL land price too high?

Today I read an article on The Star entitled "KL Land Price Too High?" - with regards to the freehold land along Jalan Bukit Ceylon that was selling for RM700psf. The professionals felt that it was on the high side though apparently for a residential plot. Bukit Ceylon is amongst the highest peaks in Kuala Lumpur - and it is one of the most sought areas in the city.

Verticas Residensi, Bukit Ceylon. =)

In my opinion, I think it is about time that land in Malaysia - or specifically in Kuala Lumpur area - to be sold differently now. All these while, Kuala Lumpur land has been sold, or rather pitched to prospective buyers in the similar method. However, I think the buyers are not the same as before anymore - and most of these buyers tend to be much smarter than before. 

In my personal opinion, land should be sold the Singaporean way - per plot ratio. For example, the higher the plot ratio, the higher the selling prices. If you look at KL Sentral - it had previously sold their prized Lot B for RM 133 million - or a record breaking price of RM 1,650 psf!!! But if you look at the Approved Plot Ratio on the plot - you would think - WOW... that is a STEAL! The approved GFA on Lot B is 1,400,000 sq ft - translates to a super plot ratio of about 17.33!!! In comparison, the buyer only paid about RM 95psf ppr. 

I would say for today's prices, I would recommend a purchase price of about RM150-200psf ppr (depending on location). This means, if the land can obtain an approved Plot Ratio of 1:10.0 - the selling price of the land should hit about RM 2,000 psf. Assuming the Bukit Ceylon plots hit a plot ratio of about 6.0, then the selling price should be about RM900psf upwards. 

Anyways, that is just a random thought of mine. Do invest carefully! =)