Nearly 3,000 unsold properties in Penang

Applicants’ failure to obtain loan the main cause, assembly told

THERE is currently a property overhang of 2,947 unsold units in Penang, says state housing committee chairman Datuk Seri Sundarajoo Somu.

Of the figure, he said 503 unsold units, or 17%, were priced below RM300,000, according to the third-quarter data of National Property Information Centre (Napic).

“Most of these units are unsold due to the applicants’ failure to obtain financing,” he said during his winding-up speech on the state budget at the Penang State Legislative Assembly in George Town.

He was responding to Nor Zamri Latiff (PN-Sungai Bakap) who asked about unsold units priced below RM300,000.

Sundarajoo said the state government would continue to ensure that housing development in Penang was done in a balanced manner.

“The development of affordable housing is subsidised and needs to be provided and borne by the state government or private developers.

“In order to enable development to be implemented holistically, there are expensive housing components that need to be developed to provide cross-subsidies to affordable housing,” he explained.

Sundarajoo said the implementation of the Urban Regeneration Project was the main focus of the state government through its housing board in ensuring the continuation in the supply of affordable housing.

He said the regeneration project was a strategic step to increase land use and improve quality of life.

“There are currently five pilot projects and these will be implemented under the urban renewal guidelines.

“However, other schemes can apply to the state government through the housing board to have their feasibility assessed.”

Separately, state infrastructure, transport and digital development committee chairman Zairil Khir Johari said a “Penang nature-based climate-adaptation programme” (PNBCAP) was being carried out.

He said it was considered the first urban climate-adaptation programme in Malaysia, funded through a grant of US$10mil (RM46.5mil) given by the Adaptation Fund Board (AFB) under the United Nations.

“This five-year programme was developed in collaboration with UN Habitat, Natural Resources, Environment and Climate Change Ministry, Penang Island City Council (MBPP) and state Drainage and Irrigation Department.

“This allocation is given to implement programmes with nature-based solutions,” he said.

The components include urban greening, stormwater management, social resilience and institutional capacity.

“PNBCAP will be the first urban climate adaptation policy framework in the country and has the potential to be developed and adapted in other cities in Malaysia and the region.”

Zairil said the implementation of PNBCAP would improve quality of life in the city, reduce floods and mitigate the effects of heat in Penang.