KUALA LUMPUR (Oct 7): Just four developers in the country are able to carry out the build-then-sell (BTS) concept, Housing and Local Government (KPKT) Minister Datuk Seri Reezal Merican Naina Merican said in the Dewan Rakyat today.
While replying to a question posed by Fong Kui Lun (PH-Bukit Bintang), Reezal Merican clarified that while BTS was “one of the more preferred methods in selling houses”, only “four developers can do this because they have strong financial positions,” reported FMT.
Reezal Merican added that the BTS concept is one of the ways where house buyers can be better protected in addition to amendments to the Housing Development (Control and Licensing) Act (Act 118).
“So, among measures on the way aside from the build-then-sell policy, where I will look for some dedicated developers who can do it, amendments to Act 118 will also be done,” he said.
The Edge Markets also reported Reezal Merican saying in Parliament that there are currently 79 abandoned housing projects involving 17,724 housing units in Peninsular Malaysia currently, affecting 11,824 buyers.
Of the total, 65 projects were halted due to the companies’ weak balance sheets, the minister said. Other causes included failure to comply with standards and weak project management, while some developers cannot be located.
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