KUALA LUMPUR: The rights of strata property title owners that agree to partake in redevelopments under the proposed Urban Redevelopment Act will be protected, the Dewan Rakyat was told.
According to Housing and Local Government Minister Nga Kor Ming, homeowners will be offered a new home on a one-to-one basis, or more, in a manner that is not less favourable to them.
“Strata title owners that agree to join are given two options.
“The first is through negotiations where homeowners will be given a new residence or more, through an equally commeasuring agreement.
“If they decide to sell the property, they can also do so.
“A mediation committee will also be formed to tackle any arising issues in urban redevelopment projects,” he said during question time on Monday (Oct 21).
He said PlanMalaysia together with the Malaysia Productivity Corporation had also conducted a regulatory impact analysis and a regulatory impact report for the legislation.
The Urban Redevelopment Act will also focus on 10 main principles, said Nga.
They are the agreement of property owners; retaining original residents; preserving the rights of landowners; conducive temporary housing facilities; evaluating the criteria of the proposed site; efficient use of the land; detailed evaluations on the proposed site; improving technology; development approvals in adherence to the law: and development in phases.
Nga said 52 engagements have been held on the proposed Act, involving various federal agencies, state government authorities, local councils, Attorney-General’s Chambers, higher education institutions, industry players, professional bodies and non-governmental organisations.
“We have also presented a policy memorandum on this to the Cabinet earlier this year.
“A presentation was also made to the Parliamentary Special Select Committee on Infrastructure. Transportation and Communication on Oct 17 to get MPs views and buy-in.
“Engagements are also set to be held with Sabah and Sarawak state governments beginning November,” he said.
He was responding to a question by Datuk Seri Dr Ismail Abd Muttalib (Perikatan Nasional-Maran) who asked about updates to the proposed Urban Redevelopment Act.
Ismail also asked about measures to protect homeowners in impacted areas.
On a related matter, Nga justified the 80% consent threshold for residents in redevelopment projects under the proposed legislation.
“Let’s say an apartment has 1,000 units. 999 residents agree and one object, the proposed redevelopment cannot proceed.
“This is not very practical and goes against public interest, especially if the area is no longer safe for living,” he said.
He said the ministry, through PlanMalaysia, also conducted comparative studies with other countries on this.
He said countries like New Zealand had a 75% consent threshold, Hong Kong (90%), Australia (75%) and British Columbia Canada (80%).
“For this act, we propose that the consent threshold be no less than 80%. That means at least eight out of 10 property owners in the area must agree.
“Only then, we can have further negotiations,” he said in response to a supplementary question by Suhaizan Kaiat (Pakatan Harapan-Pulai) on this.
Currently, without the URA, full consent is required from owners before redevelopment can take place.
With the URA, the government is proposing an approval threshold of 80% for buildings less than 30 years old and 75% for those older than 30 years.
