PUTRAJAYA: The National Council for Local Government (MNKT) has agreed to enact the Urban Renewal Act, which will prioritise the rights of original owners and ensure sustainability in urban development.
Housing and Local Government Minister Nga Kor Ming said the matter was decided in the 83rd MNKT Meeting chaired by Deputy Prime Minister Datuk Seri Fadillah Yusof today.
Cabinet members and representatives from various ministries and state governments attended the meeting.
Nga said the act needs to be enacted to address the risk of obsolescence and deterioration of urban areas.
“We are several decades behind other countries in the issue of urban renewal.
“Malaysia’s urbanisation rate has already reached 75% and it places pressure on the risk of obsolescence and deterioration of the urban structure. With the enactment of this act, we can ensure that our urban development is sustainable and safe to live in,“ he said in a statement.
According to Nga, without the act, the government needs to get full consent from residents if it wants to redevelop dilapidated buildings.
Therefore, he said the Ministry of Housing and Local Government (KPKT) plans to establish an approval threshold of 80 per cent for buildings less than 30 years old and 75% for buildings older than 30 years.
For unsafe and abandoned buildings, KPKT proposes to establish a 51% approval threshold to speed up the renewal process.
Nga said Kuala Lumpur City Hall has identified 139 potential sites to be redeveloped with a total gross development value of RM355.5 billion.
