The Kuala Lumpur Mayor wants to have the freeze on approval of luxury developments be applied on certain parts of Kuala Lumpur only, revealed Segambut MP Lim Lip Eng.
“So I asked the mayor whether this blanket ban of property worth more than RM1 million will be implemented in KL. So the answer is no,” he said following a meeting with the mayor.
“They said no, they will have their suggestion to the Ministry of Finance.”
Lim explained that he also asked the mayor if the ban will apply in DBKL, to which the mayor replied no.
“Mayor basically said no, it’s not possible especially in Golden Triangle area. So they will discuss, they will come up with their suggestion and make a suggestion to Finance Ministry.”
This comes as land and property at Golden Triangle, which is the main shopping and commercial district of Kuala Lumpur, command premium prices.
On 19 November, Finance Minister II Datuk Seri Johari Abdul Ghani announced the decision of the Cabinet to freeze luxury property developments starting from 1 November. He attributed the ban to an oversupply of luxury property.
The following day, Works Minister Datuk Seri Fadillah Yusof reportedly said the ban was not wholesale, given that RM1 million condominium units located in unattractive areas may not attract interest while units costing RM4 million in the KLCC area would still have buyers.
On 21 November, however, Johari reportedly confirmed that the freeze order was indeed a blanket ban that is applicable throughout the nation until the level of unsold property would not disrupt the economy.
Image sourced from Malay Mail.
This article was edited by the editorial team of PropertyGuru. To contact them about this or other stories email editorialteam@propertyguru.com.my
For the latest property news, trends, resources and expert opinions, visit our Property News section. Home buyers, sellers or property renters looking for Malaysian Properties, may like to visit the New Launches or Project Reviews page.
