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Malaysian Paper

/thesundaily /

Housing project revival rekindles hope

mentally and financially due to repeated failures of developers.” He also called for stricter consumer protection laws and urged the government to adopt the build then-sell model. “Under this concept, developers can only sell housing units that are fully built and have been issued with a certificate of fitness. Buyers should not have to shoulder development risks. Developers are in business to profit from risk while ordinary buyers are not.” Noor Rosly also proposed that large-scale affordable housing projects be entrusted to government linked companies such as SPNB, UDA and Sime D a r b y Property, whi ch hav e t h e

reviewed constantly to ensure progress matches the schedule, and there must be an adequate number of skilled workers.” Years of neglect have also raised questions of safety, with Noor Rosly explaining that abandoned structures are vulnerable to underground water movement, moisture damage and corrosion. “If a pathology assessment shows the structure is in good condition, then work can proceed. If there is damage, it must be repaired before construction continues. In extreme cases, demolition may be necessary, although such cases are rare,” he said, adding that mere blacklisting of errant developers may not be enough. “Authorities should pursue bankruptcy proceedings while seizing and liquidating their assets to fund completion. Buyers should not be made to suffer

financial capacity and experience to manage them. “Unknown developers should not be entrusted with building affordable homes,” he said, citing the Singapore Housing and Development Board as a model. The Housing Ministry revealed that 1,127 abandoned projects involving 135,211 buyers have been revived nationwide, representing a combined development value of RM106.48 billion. Some of the projects have been left idle for decades, such as Rumah Ladang Estet in Selangor, which was abandoned for 27 years before completion. Nga said the revivals reflected the Madani government’s determination to improve public welfare through proactive intervention. Prime Minister Datuk Seri Anwar Ibrahim had also announced that one million affordable housing units would be built between 2026 and 2035 through programmes such as Madani Residensi, the Public Employees Housing Scheme and Rumah Bakat Madani.

o Affordable unit buyers express cautious relief as work on abandoned site resumes

KUALA LUMPUR: When Mohd Sharrel Fahmi Baharum read reports that the government was reviving the abandoned housing project he bought into nearly eight years ago, he felt a mix of hope and doubt. The 43-year-old father of two, including a special-needs child, has been paying nearly RM1,600 a month since 2020 for a unit in the Residensi Hektar Gombak affordable housing project. Yet, despite five years of salary deductions, he has yet to set foot in the home he was promised. “Imagine paying that amount every month for almost five years now, and I have yet to even hold my house keys,” said the government employee. “My hope is that this time, the promise would be fulfilled and the project completed as scheduled. We buyers are exhausted and disappointed.” Unlike Mohd Sharrel, who lives with his in-laws, some buyers face a double burden of paying both rent and loan instalments. “Some have even received late payment notices because they can no longer afford to pay the rent as well as the loan,” he added. For fellow purchaser Mohd Adnan Othman, 34, the delay has derailed his life. “My late mother always reminded me to secure a home first so that it would be easier to marry. She passed away in May before she could even see my house completed,” he said. “If I move to another rental property, I would have to pay higher rent, plus a deposit and other commitments. It’s painful to bear this financial burden that shouldn’t even exist.” On July 30, Housing and Local Government Minister Nga Kor Ming had announced that construction work on Residensi Hektar Gombak had officially resumed and was expected to be completed in 2027. The RM700 million project, involving 2,400 units across five blocks, began in 2017 but stalled due to financial and management issues. Nga said the government had injected RM125 million to rescue it, stressing: “If the developer fails to complete the project on schedule and hand over the keys by 2027, I will not hesitate to blacklist the developer and its board members.” IPOH: The government will offer incentives to property developers who adopt the “build-then-sell” model, with the aim of eliminating abandoned projects by 2030. Housing and Local Government Minister Nga Kor Ming said details of the incentives, to be included in the 13th Malaysia Plan (13MP), will be revealed soon. “Developers who successfully implement the ‘build-then-sell’ model will receive incentives.

Buyers have expressed relief when lorries began moving in and out of the site once again, a visible sign that long-delayed work was finally underway. Built on 7.85ha of Malay Reserve Land, the units have been fully sold, at prices of between RM266,000 and RM299,900. Despite the restart, experts warn that trust can only be rebuilt if the developer delivers on its commitments. Bernama reported that Universiti Malaya-Wales and University of Technology Sarawak property analyst Prof Dr Noor Rosly Hanif said the same developer had failed before. “Past records show the developer failed to complete the project as agreed. Many factors contributed, including poor cash flow and

weak risk management. Nevertheless, this cannot excuse the developer from responsibility,” he said. To ensure success, he recommended

So far, 180,000 units have been completed and another 235,000 are under construction. For buyers like Mohd Sharrel and Mohd Adnan, such assurances mean little without action. What they want is the simple dignity of

quarterly audits of the RM125 million injection and constant on-site monitoring. “Suppliers and contractors must be screened to

moving into homes they have long paid for. “We just want to move into our homes and live

e n s u r e credibility and quality. P r o j e c t

the lives we planned years ago,” said M o h d Sharrel.

w o r k c h a r t s must be

Some buyers of units at Residensi Hektar Gombak have been struggling for years with both rental and loan commitments. – ADAM AMIR HAMZAH/THESUN

‘Build-then-sell’ incentives for developers planned

“This new policy will be announced after Budget 2026, as we have identified proactive measures to prevent abandoned housing projects,“ he told reporters at the Rehda Fellowship Dinner on Saturday. Also present at the event were Rehda Malaysia president Datuk Ho Hon Sang and Rehda Perak chairman Loh Ban Ho, Bernama reported. In his opening speech, Nga reiterated the ministry’s commitment to tabling the Urban Renewal Bill for

government oversight to ensure a win-win situation for all involved. “We have conducted over 105 engagement sessions with stakeholders at federal and state levels, as well as academic experts, industry representatives and resident associations,“ he added. Nga called on MPs to support the Bill in its upcoming readings, emphasising that leadership requires bold decisions that prioritise national interests and public welfare.

thousands of families continue living in unsafe, ageing homes,” Nga said. He also highlighted the positive impacts of urban renewal projects, citing examples such as Razak Mansion and Residensi Kerinchi, which have seen increased property values and improved living conditions for residents. Nga explained that the Bill will be supported by mediation committees at both federal and state levels to ensure fair outcomes, with ongoing

its second and third readings in Parliament, emphasising its importance to public welfare. He said the Bill was crucial to protect the people and revitalise aged urban areas, ensuring no one is left behind in unsafe or deteriorating housing. “Urban renewal is not about convenience, it is a national priority to improve well-being and promote sustainable urbanisation. We cannot allow our cities to decay while