Media statement by Rajiv Rishyakaran, State Assemblyman for Bukit Gasing on Friday, 25th July 2014
RM1000 leasehold renewal program remains for residential properties
The allegations by MCA that the move by the Land Office to charge between RM300,000 and RM500,000 to renew leasehold properties could leave the elderly homeless is completely misleading1.
There is no question of the elderly being made homeless as all residential properties are eligible for the RM1000 renewal scheme. There are many concerned inquiries if it now cost RM500k to renew an expiring lease following recent news articles2. I wish to clarify that for residential properties, the RM1000 renewal scheme still exist and is still applicable.
However, from the start of this scheme, it was only for residential purposes, and not for commercial or industrial land3. The name of the scheme, Private Residential Ownership Scheme also strongly implies that.
There are many residential properties in PJ Old Town that have converted into commercial premises over the last few decades. These are the premises that have been rejected from the RM1000 renewal scheme. These properties would have to renew their lease as commercial lands.
The Selangor Land Rules 2003 is the law that spells out the formula for calculating the price of the leasehold renewal for commecial and industrial lands, of which it has not changed in recent times.