Revisiting Investability of Heritage Properties through Indexation and Portfolio Frontier Analysis

In recent years, the soaring prices of heritage properties in Georgetown, Penang have gained attention practitioners and investors. The claim that within core buffer zones Georgetown increased more than 300% since city was recognized as a UNESCO World Heritage site 2008. Such containing historical or art elements lead to forming diversified portfolio could exert low correlation returns with conventional assets. addition, rehabilitation requires high restoration costs conversion fees. Despite above claims, there is an absence empirical studies relating investability, particularly prove whether are truly worth investing in. Thus, this study incorporates self-developed Index (PIHPI_HR) into investment for assessing diversification effects. This has collected 853 units transacted constructing 10-year price index (PIHPI_HR). Subsequently, its effect examined through Efficient Frontier (EF), derived from Modern Portfolio Theory (MPT). findings proven optimization by enabling investments where return higher other assets at same risk level. also unveiled movement together their value, which deemed be useful institutional investors public formulate sustainable strategies future.