45,000 new homes, 75% at RM300,000 per unit. Kuala Lumpur.

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What is affordability yeah? (Read here) There’s definitely no oversupply of homes if we are looking at supply of homes in Kuala Lumpur (KL) versus the demand from new people starting their career in KL. Let’s be objective, just tertiary education fresh graduates alone, we are looking at no less than a few hundred thousand graduates on a yearly basis. I personally do think there are a lot of demand for homes within Kuala Lumpur. The only issue is probably price. People wanting does not mean they are great at qualifying for one. Well, now we have good news. The redevelopment of Kampung Baru will see construction of 45,000 new homes of which 75% will be priced at about RM300,000 per unit.

Article in nst.com.my Federal Territories Minister Khalid Abdul Samad said with this number of homes, it will ensure the viability of the project. The cost of Kampung Baru redevelopment is between RM6 billion and RM10 billion. He said, “We will need to build more housing for the project to be viable. This will allow the new homes to be sold at a cheap price and draw more Malays into the area, given the land status. Currently, there are about 3,000 to 3,500 home units.”

He also shared that a significant portion of the residential units will be designated to landowners, while other units on the 200-acre (80.94ha) settlement will be open to new buyers of Malay ethnicity. The government is investing up to RM10 billion for development and the plan includes construction of up to eight million sq ft of retail space from the current one million sq ft.

He said, “We want to create better roads and better utilities in the area. Our vision is to make Kampung Baru a modern enclave with fibre-optic technology, which will make it a prime area for the Malay community. We hope to get everyone’s approval as we think this is a good plan that will benefit all.” Article in nst.com.my

There are 100,000 new affordable homes to be built this year. Read here. I do hope this redevelopment is successful and will be on time. The original plan is said to be fully completed by 2035. However, that’s old plan. This is the new one. Imagine 45,000 new homes and tens of thousands of new people staying inside KL. The multiplier effect will be huge for our dear Kuala Lumpur city. Ensuring most of these people do not drive a car will be very beneficial. Please work along the lines of a typical transit oriented development instead. I am very sure it will help alleviate the cause of traffic jams too. I dare not imagine if 45,000 homes each having 2 cars each. Regardless of the number of roads which will be built, it will definitely not be enough. Happy understanding and supporting good developments.

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written on 20 Aug 2019

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