Malaysia Oversight

Group wants moratorium on redevelopment projects until Urban Renewal Bill finalised

By FMT in September 15, 2025 – Reading time 2 minute
Developers should not handle consent in urban renewal projects, says group


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Kuala Lumpur Residents Alliance and Sustainable Development called for proper guidelines and public education on the proposed URA to prevent manipulation by unscrupulous developers.
PETALING JAYA:

A residents’ association has called on the government to impose a moratorium on all redevelopment projects pending the finalisation of the Urban Renewal Bill.

Kuala Lumpur Residents Alliance and Sustainable Development (KLRA+SD) also urged Kuala Lumpur City Hall (DBKL) to stop using the Kuala Lumpur Renewal Guidelines to approve redevelopment projects.

In a statement today, it said a number of neighbourhoods in Kuala Lumpur had been approached by developers for redevelopment projects since the government announced its plan to table the bill in early 2024.

The lack of published guidelines and public education on the proposed legislation had potentially given developers room for manipulation, it said.

KLRA+SD said constituencies like Cheras and Seputeh had become hotspots with various communities being approached by developers for redevelopment consent.

It said that in some cases, residents had even been approached without authorisation letters from the government.

“Without clear guidelines and awareness programmes by the government, the process unfortunately works against vulnerable groups, such as retirees and the elderly, who do not have the capabilities to understand their rights as owners,” it said.

The group also urged the government to not retroactively recognise any outcome of such unregulated consultations when the new law came into force.

“For cases needing urgent attention, the government should mediate to provide resolution,” it said.

Last week, Pejuang president Mukhriz Mahathir claimed that certain developers were duping Kuala Lumpur residents into signing “survey forms” which would end up jeopardising their property rights.

Mukhriz said the residents were asked about the types of facilities they had hoped for and requested to sign off the “survey forms” without proper explanation of the fine print at the bottom.

He claimed that their signatures would be construed as them agreeing to give up their land or homes for redevelopment.

The Urban Renewal Bill was tabled at the Dewan Rakyat for its first reading late last month, but will now be amended to reflect a new consent rule after the proposed law drew pushback from MPs and civil groups.

The bill outlines three types of projects – redevelopment that involves tearing down and rebuilding housing projects; regeneration that involves repairs or upgrades to dilapidated or abandoned buildings; while revitalisation refers to upgrading or improving an area without demolishing it.



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