Residents of Loke Yew Flats in Kuala Lumpur interacting outside their units. — Filepic
THE proposed Urban Redevelopment Act (URA) has raised concerns about the rights of minority homeowners, particularly those who had spent years paying off their home loans and building their lives in these communities.
While the National House Buyers Association (HBA) supports development and recognises the need to modernise ageing properties, its honorary secretary-general Datuk Chang Kim Loong expressed concerns over the 75%-80% owners’ consent threshold for en bloc sales, as it disregards the wishes of long-term homeowners who may not wish to participate.
Chang explained there were three categories of property owners in this situation.
The first are investors who own multiple units purely for profit and speculation.
The second group comprises those who inherited their units from previous generations and may lack any sentimental attachment, making it easier for them to sell.
The third, and most important group, he said, were the original homeowners – people who have worked hard for years to pay off their loans and establish their homes.
“This group, many of whom rely on fixed income, faces significant financial pressure as the cost of living in newly redeveloped areas with higher maintenance fees and property taxes becomes unaffordable for most of them in their twilight years,” Chang said.
He said the URA could create division, displacing long-time homeowners to make way for wealthier newcomers, thereby fundamentally altering the character of neighbourhoods.
Gentrification, the loss of green spaces and erosion of community bonds are among the consequences, leaving dissenting owners who are in the minority, at the greatest disadvantage, he said.
“We do not stifle development; it’s vital for any city to progress by replacing old, dilapidated townships with modern buildings.
“However, the current proposal for the URA is flawed, as it creates a division between those who wish to sell and those who want to remain in their homes,” Chang explained.
Property owners could be forcibly removed from their homes under the name of redevelopment, even if their buildings are simply old rather than in a dilapidated or slum-like condition.
Chang says the government should prioritise rehabilitating abandoned projects before pushing forward with the URA.
“This might tear communities apart, especially in older walk-up flats across Kuala Lumpur, where a significant portion of residents – potentially the 20%-25% who don’t consent – will suffer the most,” Chang noted.
Chang questioned the replacement of five-storey apartments with 50-storey skyscrapers.
He added that the URA could force homeowners to sell their units if 75%-80% of owners agreed, leaving the minority with no choice.
Beyond this, the financial burden of living in a redeveloped area could make it unaffordable for many.
“The transformation of familiar, low-density neighbourhoods into high-rise, high-end developments fundamentally changes the community’s character.
“Green spaces and amenities valued by these residents may be sacrificed, leaving them feeling alienated in their own neighbourhoods.
“In fact, the government should prioritise rehabilitating the numerous abandoned projects across the country before pushing forward with the URA.
“Bringing those stalled projects back to life should be the priority.
“Only then should they consider implementing the URA,” Chang said. — By BAVANI M
