Perbadanan PR1MA Malaysia (PR1MA) has renewed partnership agreements valued at RM3.29 billion with 17 development partners, to reaffirm its commitment to bring quality affordable homes to the rakyat.
The renewed agreement contains an improved business model that will allow PR1MA and the developers to more effectively fulfil their mandate of providing affordable housing for the rakyat, in line with the national housing agenda of the government, reported Bernama.
“The renewed partnership between PR1MA and its developers paves the way for the parties involved to work together strategically, including the sales and marketing aspects of the projects, to complete PR1MA projects within the stipulated time and budget,” PR1MA said.
Mohd Nazri Md. Shariff, PR1MA acting CEO, said greater responsibilities in the development of homes are given to both parties under the renewed agreements, so as to improve PR1MA’s financial position and address the issues of delayed payments and unsold residential units.
“It includes extending the sales and marketing functions to the developers, as well as enhancing collections from buyers to ensure that developers’ monthly progress claims are paid,” he said.
According to Mohd Nazri, this supersedes the previous agreements where contractors and developers were only responsible for building houses and were given a monthly progress payment by PR1MA.
“During the past one year, PR1MA had undergone a due diligence process, corporate restructuring and management change process, which was necessary to ensure that we are aligned to meet Ministry of Housing and Local Government’s (KPKT) objective in ensuring sufficient, holistic and affordable homes are available for the rakyat,” he said.
There are 94,191 PR1MA projects currently underway nationwide, with 13,359 units having been completed to date while another 42,777 units are under different stages of construction.
PR1MA aims to complete 4,082 units by year-end.