Chin: 20% of housing projects no longer viable
21/12/2001 The Star By Stephen Then
MIRI: About 20% of abandoned housing projects in Peninsular Malaysia have been classified as “no-hopes” since the buyers have no more interest in
The only option left was to ask the financial bodies involved in the projects to auction off whatever was left of these scrapped projects, Deputy
Housing and Local Government Minister Datuk Peter Chin Fah Kui said yesterday.
He said the ministry had conducted in-depth studies into 156 abandoned projects with a view to rehabilitate them.
“Out of these, only 52 are deemed as viable. Most of the projects are found in the Klang Valley.
“Most of the affected buyers who declined to have the projects revived are those who only paid the 10% deposit.
“However, those who had paid 80% or more want to revive their abandoned units,” he said in an interview.
Chin said the ministry was still updating the total figure of abandoned units and affected buyers for this year.
He said the ministry would act as the facilitator to co-ordinate negotiations between the affected parties in these abandoned projects; namely the
buyers, developers, landowners and the financial institutions funding the projects.
“All these parties must be willing to take part in rehabilitating the abandoned projects. The ministry will help to look into the various problems
that might crop up, for example, approval from the relevant government authorities,” he said.
Chin said Selangor and Kuala Lumpur were the places most affected by failed housing projects.
As for the situation in Sabah and Sarawak, he said the ministry was happy to note that residential housing projects in Sarawak had been
implemented very smoothly.