25/01/2026

NATIONAL 4 theSun on Sunday JAN 25, 2026

Resident rights key to ‘win-win’ redevelopment

Ű BY HARITH KAMAL newsdesk@thesundaily.com

PUTRAJAYA: The Housing and Local Government Ministry will continue engagement sessions to improve the Urban Renewal Bill. Its minister Nga Kor Ming said the ministry will hold discussions with local residents, academics, elected representatives and industry experts to ensure every view is taken into consideration in drafting the Bill. “The aim of the Bill is to raise the quality of life in urban areas that are neglected, rejuvenate local socio-economies and ensure the rights of the original owners in the process of “Federal laws such as the Housing Development (Control and Licensing) Act 1966, Strata Titles Act 1985 and the Strata Management Act 2013 establish ownership and transaction rights, while state governments and local authorities control planning approvals and redevelopment conditions. “Key safeguards include transparent consultation and consent processes, legally binding rehousing or compensation agreements, independent market-based property valuations, temporary PETALING redevelopment ageing housing in Selangor must guarantee residents the right to return, fair compensation and long-term security of tenure if it is to be genuinely “win-win”, said Universiti Teknologi Malaysia associate professor of property economics Dr Muhammad Najib Razali. He said a true win-win redevelopment model must protect residents under existing land and planning laws, while ensuring they benefit meaningfully from redevelopment rather than being displaced. He was responding to remarks by Selangor Menteri Besar Datuk Seri Amirudin Shari, who said the state may consider, possibly next year or in the next term, an initiative to redevelop ageing apartments built since the 1970s using a “win-win” formula for residents and the wider community. “For residents, a win-win outcome typically includes the right to return to the redeveloped site, replacement homes of equal or higher value, improved safety and amenities and long-term security of tenure. “For developers and the state, the benefits come in the form of better land utilisation and urban renewal.” On safeguards for redeveloping housing built in the 1970s, he said protections must be firmly grounded in both federal legislation and state-level implementation. JAYA: Any of

Any plans for ageing properties must ensure return

guarantees, fair compensation and lasting tenure security, says expert

urban renewal. “The ministry will continue to study every feedback received and improve the Bill to ensure the rights of original owners in a more comprehensive manner,” he said in a statement following the Cabinet decision on Friday to retract the Urban Renewal Bill. Nga added that the Bill will be tabled in an improved format after the engagement process has been finalised. “The ministry remains committed to ensuring the Urban Renewal Bill that will be tabled supports an urban renewal agenda that is safer, better relocation and accessible dispute resolution mechanisms,” he said. Without such protections, Muhammad Najib said residents, particularly the elderly and lower-income households, risk being unfairly displaced or inadequately compensated. He added that urban redevelopment could also offer an opportunity to address flood risks and infrastructure weaknesses in flood-prone Selangor, but only if these considerations are deliberately integrated into broader planning frameworks. “While state and local authorities can impose conditions related to drainage, building design and infrastructure upgrades, flood mitigation often involves federal agencies and long-term capital funding. “Without this alignment, redevelopment may improve housing quality but fall short of addressing systemic flood risks,” he added. Muhammad Najib said housing areas typically prioritised for redevelopment are those that are structurally unsafe, severely deteriorated, poorly maintained or no longer compliant with modern safety assistance

Muhammad Najib said a true win-win redevelopment model must protect residents under existing land and planning laws, while ensuring they benefit meaningfully from redevelopment. – ADIB RAWI YAHYA/THESUN

potentially resulting in delayed rehousing, unfair compensation or gentrification. “These risks highlight the need for clear guidelines, transparent decision-making and enforceable legal protections to ensure redevelopment delivers equitable and sustainable outcomes for residents.” Last month, Amirudin said the redevelopment of ageing housing in Selangor could be implemented in 2027 or 2028, stressing that such initiatives are necessary to keep Selangor liveable and in step with rapid urban growth as more local authorities are upgraded from municipalities to city councils.

He cautioned that if a win-win approach is not clearly defined or properly implemented, risks to residents increase, especially in high value states such as Selangor. “At the state level, residents may face displacement without adequate compensation or the loss of the right to return if redevelopment is driven mainly by commercial considerations. Weak or inconsistently enforced planning conditions could result in unclear or unenforceable rehousing commitments. “From a federal perspective, gaps could arise when national housing and strata laws are not effectively translated into state-level execution,

planned, and liveable, in line with the aspiration of the Madani government,” he said. Earlier, Madani government spokesman Datuk Fahmi Fadzil said at a media conference that the Cabinet had agreed in principle there was a need to improve the Bill to allow housing issues in urban areas, particularly those involving the urban poor, to be addressed fairly. The second reading of the Bill was tabled on Aug 28 but was not debated, before being postponed to the next parliamentary session. – Bernama sustainable standards, particularly developments more than 40 years old. Areas located on strategically valuable land, such as near transport corridors or urban centres, are also more likely to be targeted, he added. However, he stressed that fairness is not determined by location alone. “Fairness is determined by the adequacy of compensation or rehousing arrangements, the level of resident consent, economic feasibility and the presence of enforceable legal protections that safeguard residents’ rights throughout the redevelopment process,” he said.

Urban Renewal Bill to undergo wider consultation, says minister

Low financial literacy deepens debt woes SHAH ALAM: Weak financial literacy among some teachers has been identified as a key factor contributing to debt problems, placing them at risk of bankruptcy, said National Union of the Teaching Profession (NUTP) secretary-general Fouzi Singon. through direct deductions from bank accounts. “This situation gives room for teachers to take on additional loans although their actual capacity has exceeded safe limits, thereby increasing the risk of multiple debts and long-term financial problems,” he told Bernama.

He added that the situation is further exacerbated by what is viewed as a lax loan approval system, which allows teachers to take on additional loans even when their existing financial commitments have exceeded safe limits. “Although salary deductions through Angkatan Koperasi Kebangsaan Malaysia Berhad (Angkasa) are capped at a maximum of 60% of monthly income, there are financial institutions that allow loans to be taken outside the system

Data from the Insolvency Department showed that Selangor recorded the highest number of bankruptcy cases nationwide, with a significant proportion involving civil servants, particularly teachers. He said most affected individuals carried debts exceeding RM100,000 each, including cases involving married couples who were both teachers, which significantly affected household income.