|  | 

Property News

HBA lauds KPKT’s move towards build-then-sell

KUALA LUMPUR (Oct 30): The National House Buyers Association (HBA) has lauded the Ministry of Local Government Development (KPKT)’s move towards the build-then-sell (BTS) concept, crediting minister Nga Kor Ming and deputy minister Akmal Nasrullah Mohd Nasir “for having the courage and boldness to finally realise” it.
In an announcement last Friday (Oct 27), Nga had said the ministry is looking to introduce incentives for the BTS concept for local residential developments as an effort to reduce Malaysia’s abandoned and sick projects.
“The absolute BTS (0/100%) is the way forward to close the floodgates of abandoned, sick and problematic housing projects. It is in line with the nation’s blueprint: Dasar Perumahan Negara (National Housing Policy)”, HBA, said in a response to EdgeProp.
HBA has time and again reiterated there is no solution to abandoned housing projects except through the Government’s intervention via preventive measures, including adopting a paradigm shift from the current model of sell-then-build (STB) to the BTS 10:90 model, and eventually the absolute BTS, it stated.
“The proposed BTS must be made mandatory for all classes of housing developers including PR1MA and all federal and state economic agencies.
“HBA has no objections to ‘incentives’ being offered to all housing developers in the form of fast track approvals, tax incentives or innovative financing packages by banks, with the ultimate aspiration to make BTS a reality.
“However, developers must use their own funds or seek project financing from banks and finance institutions to embark on the new BTS concept of development,” added HBA.
Noting that BTS and STB have been allowed to co-exist since 2012 with the amendments to the Housing Development (Control & Licensing) Act, HBA reminded the Government that such co-existence should be disallowed as it has proven ineffective in resolving abandoned housing issues.
It pointed out that BTS would also mean buyers could decide based on the finished product, which would inadvertently lead to improved workmanship and material quality.
In formulating the details of the implementation, HBA called on the government to ensure all stakeholders are represented so that KPKT could get a holistic appreciation of all issues involved.
Looking to buy a home? Sign up for EdgeProp START and get exclusive rewards and vouchers for ANY home purchase in Malaysia (primary or subsale)!

Source: EdgeProp.my

Latest News


Your email address will not be published. Required fields are marked *

Name *

Email *