Daily Digest · Friday, 11 September 2026· Updated: about 3 hours ago
Completed home overhang rises 8.6% in H1; strata review weighs overhaul of maintenance charges and voting rights
Malaysia’s stock of completed but unsold homes rose to 33,094 units in the first half of 2026, while an ongoing review of the Strata Management Act is considering replacing the share-unit system used to determine maintenance charges and voting rights.
Quick takes
- Battersea Power Station Development Co and contractor Sisk began construction on Wednesday on Prospect Place South, a phase that will deliver about 300 homes and 65,000 square feet of commercial space by 2030.
- AME Elite Consortium Bhd is proposing to acquire 176.45 acres of freehold land in Pontian, Johor, for RM199.84 million, expanding its industrial land bank within the Johor-Singapore Special Economic Zone.
- The proposed 8.2km Bandar Malaysia-Seri Kembangan Expressway is estimated to cost RM1.75 billion, with a proposed 60-year concession including four years of construction. LSH Capital said the project, which has Cabinet approval in principle, remains subject to technical and financial studies, concession negotiations and other relevant approvals.
- Paragon Globe Bhd’s construction unit has secured a RM45.16 million contract for earthworks and retaining walls for a data centre development in Johor, with completion targeted for the fourth quarter of 2026.
- Whitmore Holdings bought another 1,064,500 MKH Bhd shares at RM1.99 apiece on Wednesday, one sen below its RM2 takeover offer price, taking its three day disclosed purchases to 2.64 million shares.
- KLK Land has opened the 21-acre Coalfields Retail Park at Bandar Seri Coalfields, its first retail development, with about one million sq ft of gross built-up area and retail occupancy at about 90%.
Completed residential overhang rises 8.6% to 33,094 units in H1 2026
Malaysia had 33,094 completed but unsold residential units worth RM17.78 billion in the first half of 2026, up 8.6% from 30,471 units in the preceding six months, according to the latest property-market data. The increase came despite an overall property market that recorded 187,320 transactions worth RM105.12 billion during the period. Residential property accounted for 110,998 transactions, or 59.3% of total market volume, with a transaction value of RM47.11 billion.
High-rise properties accounted for 43.4% of the completed residential overhang, followed by terraced houses at 34.9%. Some 37.3% of the unsold units were priced at RM300,000 and below, while 38% had been launched between six and 10 years ago. The overhang in serviced apartments, which are classified as commercial property, rose more sharply. Unsold completed units increased 24.7% to 23,375 units worth RM19.33 billion from 18,752 units worth RM15.42 billion in the second half of 2025. Johor recorded the largest overhang in both categories, with 4,222 completed residential units and 9,946 serviced apartments unsold.
Meanwhile, 27,832 new residential units were launched nationwide in the first half, with a sales performance of 16.6%. Homes priced between RM500,001 and RM1 million formed the largest launch segment, accounting for 10,853 units or 39% of the total. The Malaysian House Price Index stood at 234.7 points, with the average house price at RM506,317, representing annual growth of 0.9%.
Why it matters
The headline transaction numbers show a broadly resilient market, but the inventory figures expose a less comfortable underlying picture. Completed residential stock is rising, serviced-apartment overhang has accelerated, and only about one in six newly launched units had been sold during the period. The concentration of unsold stock in older projects also points to a structural inventory issue rather than merely slower sales in recent launches.
Strata Act review weighs replacing share units for maintenance charges and voting rights
The ongoing review of the Strata Management Act 2013 is considering replacing the existing share-unit system used to determine maintenance charges and voting rights as the government looks to address increasingly complex strata-management issues.
National Housing Department senior assistant director of the Strata Management Division Maizatul Izzah Mohd Shamsudin said one proposal being examined would remove share units from the Strata Titles Act and introduce a new system under the Strata Management Act, with maintenance costs potentially apportioned according to strata area. Under the present framework, share units are fixed when strata titles are registered. The department is examining whether that remains appropriate as facilities and the way they are used change over the life of a development.
The review has identified seven major areas of concern, including monitoring and enforcement, overlaps between ownership and management matters, planning and transparency, the transition from developers to joint management bodies and management corporations, shared facilities, urban redevelopment and strata termination. The proposals are still being refined and have not been confirmed for tabling in Parliament.
Why it matters
The issue goes beyond the formula used to calculate monthly maintenance bills. Share units also determine voting strength in strata schemes, meaning any eventual change could alter both how owners pay for common property and how decisions are made within management bodies. At this stage, however, it remains a policy proposal rather than a confirmed legislative amendment.
Also on the radar today
Village Grocer anchors Mah Sing’s M Legasi
Village Grocer is set to open an approximately 19,000 sq ft standalone outlet at Mah Sing Group Bhd’s 500-acre M Legasi township in Semenyih by the end of 2029. The supermarket will have 80 dedicated parking bays and is expected to open after about 817 homes in the township’s early phases have been completed and handed over.
Country Heights land heads for judicial auction
Two properties owned by Country Heights Holdings subsidiaries face judicial auctions with combined reserve prices of RM207.77 million. Mines Waterfront Business Park, with a RM152.77 million reserve price, is due for auction on Nov 4, while a 6.41-acre commercial parcel in Country Heights, Kajang, carries a RM55 million reserve.
ISW: Pahang Aerospace City targets airport operations by 4Q2031
Pahang Aerospace City, a proposed 12,000-acre integrated development, is targeting initial airport operations by 4Q2031, subject to approvals, financing and construction progress. Announced during International Sustainability Week (ISW) 2026, developer PACDB’s partnership with GreenRE will incorporate sustainability standards across the aviation, logistics, tourism, technology and advanced-industry development.
MBSB sees construction, utilities gaining from Budget 2027
MBSB Investment Bank expects construction, utilities and consumer companies to benefit from Budget 2027, with development expenditure potentially rising to RM85 billion-RM90 billion. Infrastructure spending under the 13th Malaysia Plan, power and grid investment driven by industrial and data-centre demand, and continued household assistance are expected to support these sectors.
Today's roundup
Market data and policy led today’s property news, with Malaysia’s rising completed-home overhang and the review of strata maintenance charges and voting rights carrying the broadest implications. Corporate activity remained active, spanning Johor industrial land and data-centre works, retail development and judicial property auctions. Infrastructure and investment themes also featured, from the proposed Bandar Malaysia-Seri Kembangan Expressway to Budget 2027 expectations, while Pahang Aerospace City added a longer-term development angle.
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