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KLCP2020 – Fresh approvals for above permissible plot ratios

I love it when developments are guided by a longer term vision. One such example would be the Kuala Lumpur City Plan 2020. (KLCP2020). Let’s face it, there are no cities which could become Most Liveable in the world but developments are done haphazardly or based on whims and fancies of the authority in charge every other year. As it is KL is only ranked at 98th in Asia for Most Liveable city in Asia for Asian expats. By the way, this ranking meant that it is even below Georgetown Penang at 97th. 😛 Okay, let’s beat Georgetown next year. One of the most important factor would be infrastructure and this actually determines liveability because it is impossible to support ever higher number of cars every year! Around 600,000 vehicles were sold within 2018 itself! (click here for source)

Reported in Property projects needed to acquire fresh approval from the Kuala Lumpur City hall (DBKL) to go through with their plans. Property projects which are already granted the development order are not affected and ones that are given the development order but haven’t commenced yet are required to apply for an extension. According to DBKL’s city planning department director Nurazizi Mokhtar, the property developers need to submit a full report to the mayor for a review which includes the impacts of the amendment. If it is approved, DBKL will then gather the public’s views before the final approval. As of now, many development projects are given plot ratio of more than what is permissible under KLCP2020. Due to this, developers and investors were willing to pay higher price for land in the city. A lower plot ratio is not so desirable since fewer units could be built resulting in lower profits for the developers. Government statutory bodies do not need to resubmit reports for approval if the parcels bought are granted plot ratio of more than 10 in the approval in principle. For reference, article in here

This is exactly why KLCP2020 was needed way before development approvals were given. Now there will be many renegotiations and some may feel that it’s unfair if some gets the special approval while others did not. What is good however is that moving forward, all these approval in principle etc could be avoided and it becomes very transparent and no developer or even investors need to pay a premium simply because of some ‘special’ approval above what is stated in KLCP2020. it will also discourage speculation which is extremely important or else, the issue of affordability will always haunt Malaysian households for a very long time to come. Happy following.

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News article summarised by Dina Batrisyia. Article written and edited by Charles.

next suggested article: Micro housing in Kuala Lumpur? More details please.

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Charles Tan The Founder The Writer Kopiandproperty
Charles Tan

Charles is Founder of He writes from his investment experience for the the past 20 years in investments including property, stock, unit trust and more as well as readings and conversations with many property gurus in the industry. is an independent property blog which is not affiliated to any media company, property developer or even real estate agencies.

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