State economic agencies and government-linked companies should cater to affordable housing for the masses and not embark on “profit-making” ventures.
National House Buyers Association (HBA) honorary secretary-general Chang Kim Loong (pic) said these agencies were set up by the federal and state governments to ensure the well-being of the people, including providing housing for the majority of population.
“They are guardians of the land alienated to them and they must understand their objective. It is not to embark on making money,” he told The Star Online when asked to comment on the recent protest against the construction of the Datum Jelatek luxury condominium in Keramat, Kuala Lumpur.
The condominiums are being built on the former site of four blocks of Perbadanan Kemajuan Negri Selangor (PKNS) flats that were demolished in late 2010.
Chang said economic agencies should not be competing with private developers, whose main aim was to seek profit.
“Private developers are there for the profit and are not charitable organisations. House prices have gone up drastically in the past three to four years. The majority of people aren’t able to afford them,” he said.
The protesters, led by Datum Jelatek action committee chairman Salleh Samad, claimed that the project would not benefit Malays, as the RM700,000 per unit price was beyond their reach.
PKNS, however, said that a total of 1,097 potential bumiputra buyers registered their interest in the 674 Datum Jelatek condominium units.
Housing affordability, which is based on the ratio of average terraced house price to average household income, has worsened over the past five years, according to Rahim & Co, Chartered Surveyors Sdn Bhd.
In its survey of the Malaysian property market 2014/2015, the ratio increased from 3.4 in 2009 to 3.6 in 2012 and 2014.
HBA had previously called for government intervention to prevent a “homeless generation” of young adult Malaysians from emerging.
