Malaysia Records Fewer Sick, Delayed and Abandoned Housing Projects — Aiman Athirah

KUALA LUMPUR (Nov 25) — Malaysia has seen a notable reduction in sick, delayed and abandoned private housing projects thanks to the rapid interventions of the Task Force on Sick and Abandoned Private Housing Projects (TFST), said Deputy Housing and Local Government Minister Datuk Aiman Athirah Sabu.

As of Oct 31, delayed housing projects recorded the most significant improvement, dropping 24% from 146 to 111. During the same period, the number of sick projects fell from 353 to 335, while abandoned projects declined slightly from 107 to 105.

Over 44,000 Homes Revived This Year

For 2024 alone, 396 sick and delayed projects involving 44,806 housing units and a gross development value (GDV) of RM3.75 billion have been successfully revived.

In addition, 11 previously abandoned projects—collectively comprising 2,085 homes worth RM239 million—were completed and issued the Certificate of Completion and Compliance (CCC), either through full rehabilitation or alternative recovery methods.

Since TFST’s formation in 2023, the task force has revived 1,333 private housing projects, covering 159,638 homes with a total GDV of RM126.47 billion.

Focus on Accelerating Residensi Hektar Gombak Rehabilitation

Aiman Athirah also called for faster rehabilitation of the Residensi Hektar Gombak project, which targets CCC issuance in 1Q 2027 and key handover by 2Q 2027.

The 2,400-unit development, abandoned in 2018, has since reached 85% progress.

“I’ve asked the contractor to accelerate works, potentially by adding manpower or applying for extended working hours from DBKL to ensure the project meets its revised schedule,” she said.

The Ministry will monitor the project every three months to ensure adherence to the rehabilitation plan.

Broader Market Context

The improved recovery rate of housing projects reinforces investor confidence not only in residential development, but also in adjacent real estate sectors such as:

• commercial property in KL, where completion timelines are crucial for retail and business tenants

• office space in Bukit Jalil, driven by strong suburban business demand

• high-demand industrial segments, including industrial land in Selangor, factory opportunities in Puchong, and industrial property in the Subang area, all strengthened by improved regulatory oversight and delivery timelines