Contributed by Datuk Chang Kim Loong

A self-help initiative for rejuvenation, renewal and redevelopment efforts should be implemented without the need to legislate the Urban Redevelopment Act (URA), which risks dividing owners into dissenting groups. Instead, successful redevelopment often requires collaboration, legal frameworks and careful planning among property owners and self-sourced developers or building contractors. The key to success lies in proactive communication, a solid understanding of the market and aligning redevelopment goals with broader urban planning objectives.

If property owners wish to pursue redevelopment, they should have the option to do so through a self-help programme. There is no need for URA legislation, which would only create further complications — especially given the Ministry of Housing's poor track record in handling late, sick and abandoned housing projects. Existing laws already provide a sufficient framework for redevelopment, rejuvenation, renewal or refurbishment—whatever term one may use.

Ultimately, homeowners should have the freedom to decide how to redevelop their housing schemes based on their needs and circumstances.

Provide seed money to kick-start

Instead of allocating valuable resources toward implementing the URA, the government could consider setting aside dedicated funding for a self-help initiative for property owners, similar to the National Higher Education Fund Corporation (PTPTN).

Under this scheme, property owners—through their respective representative bodies, such as residents’ associations (RAs) or management corporations (MCs)—could apply for seed money to engage professionals, planners, architects, surveyors, consultants or project managers. These experts would assist in conducting comprehensive planning, scheduling, cost assessments and feasibility studies. With a well-prepared working paper, owners would then be able to call for open tenders for redevelopment.

This approach empowers property owners to select the best tenderer, ensuring innovative designs and competitive deals that align with their needs and expectations. After all, owners themselves are the best judges of what they want.

To ensure sustainability, the seed money should be provided as an interest-free loan, repayable to the government upon successful completion of the redevelopment. While concerns may arise regarding financial management and oversight, these aspects can be further refined and structured to ensure proper governance.

In contrast to the URA’s legal framework which typically requires coordination with urban authorities and following certain procedures for land use and development, the self-help initiative would allow property owners to initiate the urban redevelopment process independently without directly relying on the complex URA legislation.

An owner-driven approach

To facilitate a more owner-driven approach to urban redevelopment, several self-help strategies can be implemented:

1. Redevelopment efforts should be spearheaded by formal owners’ associations or cooperative groups, such as RAs or MCs. These entities can coordinate key aspects of the process, including property value assessments, collective sales and negotiations with developers or contractors. A clear governance structure, with representation from diverse stakeholders, ensures efficient decision-making and a unified approach.
2. A collective sale or en bloc sale occurs when a group of property owners agrees to sell their properties collectively to a developer for redevelopment purposes. Owners can initiate discussions with developers and once a unanimous agreement is reached through voting, they can proceed with the sale—without requiring direct intervention from the URA. However, it is crucial to seek independent legal counsel to ensure that all owners are treated fairly and equitably in the agreement.
3. While the proposed URA is intended to regulate major urban redevelopment projects, property owners can still engage proactively with local municipal councils and town planning departments. Discussions on zoning changes, land use adjustments and planning permissions may allow for redevelopment outside the rigid URA framework. This could include initiatives such as revitalising smaller buildings or underutilised plots and adaptive reuse of existing structures.
4. Owners can commission independent feasibility and viability studies, as well as urban planning assessments, to evaluate potential redevelopment opportunities. These studies should cover:

• Market assessments to determine demand and investment viability
• Environmental impact reports to ensure sustainability
• Legal due diligence to address regulatory compliance

By conducting these assessments without relying on URA-led processes, owners can make well-informed decisions and identify the best path forward.

5. Once a clear redevelopment strategy is established and owners are in agreement, they can independently approach private developers, contractors or investors. Developers may be more inclined to participate if ownership is already secured, as this eliminates the need for extensive government involvement and reduces potential roadblocks. Owners can enter into joint ventures (JVs) with property developers or building contractors where they partner to redevelop the property. 
6. To navigate the complexities of URA legislation, property owners can establish legal frameworks such as JVs or special-purpose vehicles (SPVs). These structures allow a collective approach to ownership and redevelopment while ensuring streamlined decision-making. Independent legal counsel is essential to safeguard owners' rights and ensure compliance with local laws and building regulations.
7. Owners may explore public-private partnerships (PPPs) by collaborating with private developers while leveraging public infrastructure initiatives. Local governments may support such efforts if they align with broader urban development goals, creating a win-win scenario for both private stakeholders and the public sector.
8. Property owners can collectively enhance existing infrastructure or common facilities by upgrading plumbing and electrical systems or integrating sustainable features. For example, passenger lifts can be installed alongside existing staircases, improving accessibility and convenience. These improvements can increase property value and marketability, all while remaining within the existing legal framework.
9. Owners can implement self-help initiatives by appointing a licensed property management company to handle building maintenance, upgrades and renovations. A well-managed property enhances long-term sustainability, safety and aesthetic appeal, attracting higher property values and demand.
10. For properties with historical or architectural significance, owners can explore adaptive reuse—repurposing a building for modern functions while preserving its original structure. This approach is particularly valuable for older buildings, allowing for heritage conservation while revitalising the interior for contemporary use.
11. Property owners can embrace eco-friendly redevelopment by adopting green building standards and sustainable architectural solutions such as solar panels, rainwater harvesting systems and green roofs. With the rising demand for environmentally conscious living, these initiatives not only enhance sustainability but also increase property value and market appeal—all without requiring legislative changes.
12. A successful redevelopment process hinges on strong community engagement and transparent communication among property owners. Organising town halls, discussion forums and advocacy initiatives can help build consensus, address concerns and create a shared vision for redevelopment, ensuring a smoother and more cooperative process.
13. In communities with a strong sense of ownership and shared vision, redevelopment can be initiated and led by the property owners themselves. By forming a local redevelopment initiative, owners can collaboratively plan improvements that reflect their needs and aspirations—whether it’s upgrading infrastructure, introducing new amenities, or enhancing the neighbourhood’s aesthetic appeal. This approach minimises the need for excessive regulation while empowering owners to take charge of their community’s transformation.
14. Instead of imposing strict regulations, government agencies like PLANMalaysia can play an advisory role—offering guidance, expertise and support for owner-led redevelopment projects. Collaboration with planning authorities can ensure that projects align with broader urban development objectives while still maintaining flexibility for owners to drive the process independently.

Careful planning necessary

Each of these approaches demands careful planning, collaboration and a thorough assessment of financial, legal and practical considerations. While self-help initiatives offer greater autonomy, it is important to recognise that some level of coordination with local authorities may still be required, particularly for zoning approvals, planning permissions and infrastructure integration.

However, these owner-driven redevelopment strategies provide a viable alternative to the complex regulatory frameworks typically associated with URA legislation. By empowering property owners to take charge of the redevelopment process, achieving 100% unanimous consent is not an impossible task. This has been successfully demonstrated in case studies such as 1Razak Mansion in Sungai Besi, Kuala Lumpur, along with two housing projects in Shah Alam, Selangor, initiated by the Selangor State Development Corporation (PKNS).

Datuk Chang Kim Loong is the honorary secretary-general of the National House Buyers Association (HBA).

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