PROPERTY GURU. 12TH OCTOBER: Penang warns that it will take stern action against developers who force affordable home buyers to avail of additional packages for renovations and car parks.
Meanwhile, the Sandakan Municipal Council has been urged to defer its plan to increase the assessment rates from next year.
1. Penang to blacklist developers forcing buyers to pay for upgrades
Penang warns that it will take stern action against developers who force affordable home buyers to avail of additional packages for renovations and car parks.
State Housing Exco Datuk Seri S. Sundarajoo noted that the state has fixed the prices for affordable housing units at RM42,000 to RM300,000.
Developers found guilty of pressuring buyers into taking up these packages will face severe consequences, including potential blacklisting for future development projects.
He explained that buyers have the right to decline renovation packages and developers cannot compel them, citing complaints received by the state regarding this issue.
Sundarajoo reminded developers that all developments and planning approvals must pass through his office and local government, granting them the authority to intervene if necessary.
He underscored that the offer price for affordable homes should not be altered to include additional packages, as eligible buyers usually cannot afford to pay more than the units’ fixed price.
“It is a different matter if they ask for additional finishing packages, but the developers cannot force them if they don’t want it,” said Sundarajoo.
2. Sandakan Municipal Council urged to defer assessment hike
The Sandakan Municipal Council has been urged to defer its plan to increase the assessment rates from next year.
Tanjong Papat Assemblyman Datuk Frankie Poon requested the state government to reconsider the assessment hike, citing the need to wait for the economic conditions to improve.
He said the council should find ways to postpone the implementation of the hike, given that many people are still recovering from the financial strain brought about by the COVID-19 pandemic.
“We are still not out of the woods and yet we have to be burdened by another increase in cost,” said Poon, who is also the Sabah DAP Chairman.
He noted that the assessment rate has not been reviewed for a long time, despite a law requiring its review every four years.
In September, Parti Warisan assemblymen from Sandakan area also called on the state government to reconsider the assessment rate hike, citing the high cost of living.
A hike should only be implemented once the council has improved its services to the people.
3. PR1MA eyes to develop some land for TOD projects
PR1MA Corp is developing affordable homes based on eight core strategic developments to meet the growing demand for affordable housing and cater to the needs of homebuyers.
These strategic developments include Residensi PR1MA, PR1MA Transit-Oriented Developments (TOD), PR1MA Mini Townships, PR1MA Premier, M40 Housing in the City, M40 Housing in Small Towns and Suburbs, Housing for Youth and Retirement Housing.
PR1MA CEO Datuk Seri Mohd Nazri MD Shariff said there is a demand for affordable homes, especially in urban and suburban areas, driven by factors such as population and economic growth, urbanisation and the desire for a modern and sustainable lifestyle.
He noted that the TOD models, which encourages people to use public transport, is gaining popularity and aligns with the goal of PR1MA.
“PR1MA aspires to reduce dependency on private transport, which will indirectly increase disposable household income. We are studying some land that has the potential to be developed as a joint venture for TOD development,” shared Nazri.
He revealed that PR1MA has also identified some land for the development of Malaysia’s first PR1MA mini township.
4. Penang to prohibit low-cost home owners from renting out units
The state government of Penang will ban the renting out of low-cost and low-medium-cost housing, saying that these low-cost homes are meant for the less fortunate to live in and not for the enjoyment of others.
“I stress that these heavily subsidised housing are for them and their family to use, they cannot rent it out, whether to locals or foreigners,” said State Housing Exco Datuk Seri S. Sundarajoo.
He noted that some owners have rented out their units to factories for substantial income, which was not the intended purpose of the subsidised housing.
To resolve this issue, Sundarajoo plans to work with the local government development ministry to amend the sales and purchase agreement (SPA).
The state will also come up with its own enforcement action, which it will present to the state exco in the coming weeks, he added.
He shared that renting out low-cost homes to foreign workers had resulted to social problems.
With this, he is collaborating with local government state exco Jason Hn’g to transform vacant blocks of low-cost and low-medium-cost housing into hostels for foreign workers.
5. Seven projects in Kelantan identified as “sick”
The Implementation Coordination Unit, Prime Minister’s Department (ICU JPM) in Kelantan has identified seven ‘sick or problematic’ projects under the 12th Malaysia Plan.
Among these projects are the Phase One of the Sungai Kelantan Integrated River Basin Development Project (PLSB), which was delayed by 193 days, and the Sungai Golok PLSB, which was delayed by 177 days.
“The upgrade work of Sultan Ismail Petra Airport (LTSIP), Pengkalan Chepa, is also categorised as a sick project, after experiencing a delay of 168 days,” said State ICU JPM Director Jasri Kasim.
Other projects in Kelantan that were experiencing delays include the upgrading of infrastructure at the Universiti Sains Malaysia Hospital (HUSM) Health Campus in Kubang Kerian and the replacement of Sungai Durian bridge in Kuala Krai.
“The construction of the bridge connecting Kampung Pasir Era to Pasir Kelang, the replacement of the Sungai Durian bridge in Kuala Krai and the construction of a multi-purpose hall at Sekolah Menengah Kebangsaan Cherang Ruku, Pasir Puteh have also experienced delays,” said Jasri.
Meanwhile, 101 projects under 12MP in Kelantan have been fully completed, while 164 projects are expected to start soon.
6. RISM lauds proposal to hire BOVAEP-certified property managers
The Royal Institution of Surveyors Malaysia (RISM) has lauded the proposal to hire property managers licensed by the Board of Valuers, Appraisers, Estate Agents, and Property Managers (BOVAEP) to manage strata buildings in Malaysia.
RISM president, Sr. Adzman Shah Mohd Ariffin, said this initiative, listed in the Mid-Term Review (MTR) of the 12th Malaysia Plan, is aligned with the government’s commitment to provide sustainable and safe living conditions for residents of stratified developments.
He said this goal can be achieved with the help of relevant authorities and stakeholders such as property owners, housing developers, residents, Management Corporations, Joint Management Bodies and related non-government organisations.
RISM also welcomed plans to review the Strata Management (Management and Maintenance) Regulations 2015 and Strata Management Act 2013 (Act 757) to address any shortcomings and differing interpretations by various stakeholders.
“We fully support this move but would strongly suggest improvement of the finer details instead of the proposed revamping by Jabatan Perumahan Negara to avoid disruption of the processes during the transition period,” said Adzman.