Kuala Lumpur: A property investment consultant has suggested that the government consider imposing a 30% affordable housing quota in every residential development project instead of low-cost housing, Bernama reported today.
Rahim & Co International Sdn Bhd executive chairman Tan Sri Abdul Rahim Abdul Rahman (pictured) explained that such a policy would result in more developers building affordable homes as they would still be able to cover the costs in such projects.
“This is also in line with market demand which is to cater to the needs of those earning RM3,000 and below, and can only afford houses with a price tag of up to RM150,000,” he told reporters on the sidelines of the “The Malaysian Property Market: Opportunities Amidst Uncertainties” one-day seminar here today.
The government’s current policy required developers to allocate 30% of their new residential development for low-cost housing.
“If we have successfully met the 30% low-cost houses requirement all these years, why can’t the developers provide the 30% quota for affordable houses instead? The government must enforce this and no developer should be exempted,” Bernama reported Abdul Rahim as saying.
He added that developers could still make money from the remaining 70% of their project.
Abdul Rahim also said that the government must ensure the allocated affordable homes must be built in urban areas, and not 10 miles from the city centre, Bernama reported.
“The project must be nearer to workplaces,” he added.
News Sources:(The Edge)