22nd February – 28th February
The National Housing Buyers Association (HBA) believes the proposal to introduce a law authorizing a government agency to handle the two-month security deposit for rented properties would only add to the layers of red tape. Meanwhile, the Federal Territories Ministry said that retention ponds within the city remain off limits to developments.
1) Proposed law on rental security deposits would only add to layers of red tape
The National Housing Buyers Association (HBA) has called the proposal to introduce a law authorizing a government agency to handle the two-month security deposit for rented properties as unnecessary, saying it would only add to the layers of red tape.
The Star reported that the Housing and Local Government Ministry (KPKT) is seeking feedback on the proposed law to determine its feasibility.
In a document entitled Proposed Survey and Drafting of the Residential Tenancy Act, KPKT suggested that a Comptroller of Residential Tenancy be authorised to manage the two-month security deposits which would be parked under a neutral agency.
The security deposit will be returned to the tenant upon the expiry of the tenancy agreement, provided there are no expenses that need to be deducted, said KPKT.
“The whole process to file the claim, the bureaucracy, then going to a tribunal, will take months and does not benefit owner or tenant,” said HBA Secretary-General Datuk Chang Kim Loong as quoted by The Star.
“Knowing government agencies, it is never easy to get your money back.”
Related article: Tenancy Agreement In Malaysia: Complete Guide And Sample Download
2) KL retention ponds remain off-limits to developments
Any type of development are not allowed at retention ponds within the city, said the Federal Territories Ministry.
“While development can take place near these sites, they are not allowed to encroach into the ponds,” said Minister Datuk Seri Dr Shahidan Kassim as quoted by The Star.
The minister made the statement after several Kuala Lumpur MPs raised concerns on the status of retention ponds, noting that any development may increase the risk of flooding.
This comes after Segambut MP Hannah Yeoh said that six ponds have been alienated for development between October 2015 and September 2020.
To this, Shahidan explained that the development orders issued were for sites near two ponds – namely Delima and Taman Wahyu ponds.
3) Housing project aims to minimise segregation issues
Iskandar Investment Bhd’s (IIB) housing project at Iskandar Puteri, Johor is targeted at minimising segregation issues by placing the low-income (B40) and middle-income (M40) groups in one community.
With construction works set to commence in 2023 and completion by 2026, the RM230 million project will occupy a 5.2ha site located right next to Marlborough College Malaysia, reported The Star.
The project – to be developed by IIB’s wholly-owned subsidiary, Iskandar Capital Sdn Bhd, in three phases – will feature 1,000 housing units priced at between RM80,000 and RM350,000.
“The project aims to minimise segregation issues by creating a diverse community with all levels of society living harmoniously in one integrated community, connected by green infrastructure, modern facilities and quality services,” said IIB President and CEO Datuk Khairil Anwar Ahmad.
Related article: If You’re On The Lookout For An Affordable Home, Here’s A Guide Just For You!
4) Battersea Power Station’s Phase 2 to open in September
Battersea Power Station’s second phase of development is set to open to the public in September, featuring the first tranche of bars, restaurants and cafes.
According to Battersea Power Station Development Company (BPSDC), the second phase of development will offer 254 residential units as well as over 100 retail shops, cafes and restaurants, unique event spaces and offices, reported Bernama.
Its food and drink offering, situated in the historic Boiler House and Turbine Halls, will be complemented by 14 outlets within the Circus West Village.
“We are delivering something incredibly unique for the capital and are confident that visitors to Battersea Power Station will be excited by the variety of cuisines that will be on offer,” said BPSDC Head of Leasing Sam Cotton.
The Battersea Power Station development is owned by a consortium of Malaysian investors comprising SP Setia Bhd (40%), Sime Darby Property Bhd (40%) and the Employees Provident Fund (EPF) (20%).
5) Earnings forecast for Atrium REIT slashed amid lower property income
Mercury Securities Sdn Bhd has cut its earnings forecast for Atrium Real Estate Investment Trust (Atrium REIT) for financial year 2022 from RM27.7 million to RM23.1 million.
This comes as the broker expects Atrium REIT to post lower net property income and higher expenses than previously estimated, reported The Malaysian Reserve.
“In line with our lower forecast net profit and distributions, we are reducing our target price to RM1.69 from RM1.83 previously which represents a potential upside of 14.2% to the current price,” it said in a note.
Atrium REIT recorded a net loss of RM0.4 million in Q4 2021, while net property income declined to RM9.1 million from RM9.3 million in the previous year.
For FY2021, net profit dropped 13.1% year-on-year to RM18.2 million, while net property income increased 13% year-on-year to RM36.4 million.
Looking ahead, the broker cited the group’s inability to rent out properties at reasonable rates upon expiration of existing lease as a key risk for the company.
Related article: B40 and M40: What Are The Housing Schemes Available For You?
6) Residents urge MBSJ not to approve construction of car service centre
Taman Puncak Jalil (PUJ) residents have urged the Subang Jaya City Council (MBSJ) not to approve any proposal to construct a car service centre within their Seri Kembangan neighbourhood.
Notably, the residents had lodged a complaint with MBSJ last month after they noticed that a car service centre is being built within their area, reported The Star.
Taman Puncak Jalil Residents Association (Taman PUJ RA) President Zainuddin Zainal said residents felt that such business should not be situated near a residential area.
He revealed that MBSJ had issued a stop-work order for the project since it has no prior approval from the city council. The contractor, however, continued with the construction work, forcing MBSJ to issue another stop-work order and seal off the site.
“Taman PUJ residents hope MBSJ won’t issue any approvals for the construction of a car service centre in our neighbourhood,” said Zainuddin.
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