Calls for Balanced, Practical Regulations to Support Integrated Development Growth
KUALA LUMPUR, May 22, 2025 – The Associated Chinese Chambers of Commerce and Industry of Malaysia (ACCCIM) welcomes the Ministry of Housing and Local Government’s ongoing efforts to enhance public welfare, particularly in safeguarding the interests of home and property buyers.
ACCCIM supports the proposed expansion of the Housing Development (Control and Licensing) Act 1966 (HDA) through the introduction of the Real Property Development Act (RPDA), especially in response to the evolving landscape of Malaysia’s property market and the rise of hybrid developments such as SOFO, SOVO, and SOHO.
Clarifying Coverage Under the RPDA
ACCCIM emphasizes that the RPDA should function as an extension of the HDA, not a wholesale replacement or overreach. The Chamber recommends that:
- Only “Sell-Then-Build” stratified properties—including residential, commercial, and hybrid units—be included under the RPDA.
- “Build-Then-Sell” projects and completed investment properties should be exempted from the RPDA’s purview.
Supporting Smart, Integrated Urban Development
ACCCIM advocates for the encouragement of masterplanned Integrated Mixed-Use Developments. These developments enhance urban efficiency, reduce car dependency, and improve quality of life by combining living, working, and leisure spaces.
In this regard, ACCCIM urges the government to:
- Apply residential utility and tax rates (such as quit rent and assessments) to residential components in such developments, instead of commercial rates currently imposed.
- Recognise the unique characteristics and benefits of these developments in public policy.
Improving Property Management for Complex Developments
To ensure effective and sustainable management of stratified mixed-use developments, ACCCIM proposes a shift from the current system:
- Each component within a stratified development should form its own Component Management Corporation.
- A central Universal Management Corporation should be formed only once multiple components are completed, to manage shared common areas.
- ACCCIM believes this phased approach is more practical and efficient than the current model, which mandates the establishment of the umbrella corporation first.
Call for Establishment of the Board of Building Managers
ACCCIM strongly supports the Ministry’s plan to establish a Board of Building Managers, stressing the urgent need for:
- A formal regulatory body to register and oversee professional building managers, given the rapid growth of stratified developments nationwide.
- Enhanced professional standards and governance in property management to ensure better outcomes for residents and developers alike.
“As Malaysia’s property landscape continues to evolve, it is essential that our regulatory framework keeps pace. ACCCIM supports efforts to protect consumers, while also ensuring that policy remains practical and conducive to smart urban growth,” said a spokesperson for the Chamber.
