deposit

Questioning DBKL’s move on KLites

Justifying the proposed assessment rate hike THE media has reported that two former mayors – Tan Sri Ahmad Fuad Ismail and Tan Sri Elyas Omar – have questioned the Kuala Lumpur City Hall (DBKL) on its proposed assessment rate hike. Ahmad Fuad, predecessor to the current mayor Datuk Seri Ahmad Phesal Talib, pointed out that he had raised reserves amounting to RM3bil prior to retiring last year. This means Ahmad Phesal inherited RM3bil when he took over. Ahmad Fuad reportedly said that DBKL must provide a detailed budget for 2014, with a breakdown of how much money was needed and how it would be spent. Elyas, meanwhile, noted that DBKL had “bigger revenue compared to what it had 30 years ago”, adding that there was no need to increase rates “even by 10%”. DBKL must be selective and make a di...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

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