act

Pre-requisite condition for licensing of a housing developer

It is noteworthy that the Housing and Local Government is providing further protection to house buyers against the antics of irresponsible developers. The recent amendments to the Housing Development Act comes to mind. One of the most pertinent clause that was amended is Section 6(1)(b) of the Housing Development (Control & Licensing) Act, 1966. The matter refers to the amendment to the requisite deposit, which is refundable, from the current RM200,000 to 3% of the construction cost. Small developers who build small number of houses in the smaller towns and where total construction cost is RM2mil or less, the RM200,000 that they are currently forking out actually represents over 10%. Therefore, for them the new 3% is actually a vast reduction! To a big project developer whose construct...Read More

Malaysia’s errant developers still not afraid

KUALA LUMPUR, Nov 17 — No amount of new laws against offences committed by property developers will be effective without strict enforcement, said the House Buyers Association (HBA) today. This comes as the Housing and Local Government Ministry moved to propose amendments to the Housing Development Act 1966 to impose stiffer penalties against developers of abandoned housing projects. HBA secretary-general Chang Kim Loong said tougher enforcement of laws was needed to deal with errant developers without which the new laws would remain “ornamental pieces”. “Wayward developers well know that their chances of getting away with their wayward deeds are extremely good,” he said in a statement. He called on the authorities to act against developers “without fear or favour”. He also said that while ...Read More

Pre-requisite condition for licensing of a housing developer

It is noteworthy that the Housing and Local Government is providing further protection to house buyers against the antics of irresponsible developers. The recent amendments to the Housing Development Act comes to mind. One of the most pertinent clause that was amended is Section 6(1)(b) of the Housing Development (Control & Licensing) Act, 1966. The matter refers to the amendment to the requisite deposit, which is refundable, from the current RM200,000 to 3% of the construction cost. Small developers who build small number of houses in the smaller towns and where total construction cost is RM2mil or less, the RM200,000 that they are currently forking out actually represents over 10%. Therefore, for them the new 3% is actually a vast reduction! To a big project developer whose construct...Read More

Not all apartments are the same

CALL them what you like – small office home office (Soho), small office flexi office, small office versatile office, condotel, hotel suite or butler serviced apartment. The names are coined by housing developers with creative plans to woo investors with enticing marketing tools on yet-to- be-built stratified properties. Where people used to buy an apartment unit/parcel for a roof over their heads, of late, so many other styles have crept up to boggle the minds of investors and buyers. However, for the uninitiated – not all apartments are created equal. Although the sales and marketing brochures may look alike, the small prints will tell you the difference, if you care to take a magnifying glass to inspect. Then again, for the first-timers, they are unlikely to spot the difference. This art...Read More

Leakage – A strata living nightmare

IF you live in a high rise building and have an inter-floor leakage issue, you can be rest assured that you are not alone. Inter-floor leakage is without a doubt one of the biggest problems faced by many dwellers of high rise buildings. Whilst the leakage may appear only in a particular parcel, the source of the leakage may lie in the parcel above or even elsewhere. The cooperation of more than one party is therefore required; without which one cannot even begin to identify the problem, let alone solve it. Two issues must be identified when there is an inter-floor leakage. Firstly, the source of the leakage and secondly, the person or body responsible for repair or rectification. Who is supposed to identify the source of the leakage to start with? The person or body responsible of course, ...Read More

HBA’s lawsuit obtains greenlight

Lawyers of the National House Buyers Association (HBA) have been granted the ‘leave of court’ to pursue the legal action against the Minister of Urban Wellbeing, Housing and Local Government (KPKT) and Controller of Housing (CH). The lawyers, who have volunteered to represent buyers who have been denied rights to claim for the delay of a project in Kuala Lumpur, obtained the permission from the Appellate & Special Powers Division of the High Court to pursue Judicial Review proceedings against the decision of KPKT and CH on Palace Court, developed by BHL Construction Sdn Bhd. According to HBA’s secretary-general Chang Kim Loong, the class action was commenced by 71 aggrieved buyers against the granting of the Extension of Time (EOT) by the CH, which has denied unit owners the rights for...Read More

Compliance with the law–Do it the right way from the onset

Office bearers and committee/ council members elected to serve the management bodies should indulge themselves; to educate and equip themselves with the intricacies of the legislation governing strata management vis-à-vis Strata Management Act, its Regulations and the usage of the related Forms as well as understand the scope of jurisdiction of the Strata Management Tribunal and the role and power of the Commissioner Of Buildings. Dealing with the maintenance charges and sinking fund is one of the most important and yet contentious functions of developer, Joint Management Body or Management Corporation (collectively ‘Management Bodies’) in a stratified development. In order to ensure that accountability and integrity are constantly upheld in the Management Bodies, the Strata Management Act...Read More

Act 242 – The proposed Register of Property Managers

A BILL was tabled in the current session of Parliament on 1.8.2017 for its First Reading and subsequently on 3.8.2017 for its Second and Third Readings. It is titled RANG UNDANG- UNDANG – D.R 26/2017 – Bill to amend the Valuers, Appraisers and Estate Agents Act, 1981 (Act 242). The proposal by the Ministry of Finance to amend the Act primarily was to substitute the principal Act to read “Valuers, Appraisers, Estate Agents and Property Managers Act, 1981” to give clarity that the legislation covers aspects of ‘property managers’ and its proposed Register of Property Managers amongst other issues. Readers could download the proposals from: http://www.parlimen.gov.my/ Pertinent Points to Note The National House Buyers Association (HBA) is in support of the Bill to amend the Valuers, Appraiser...Read More