Government Has Yet To Set Launching Date Of Build-And-Sell Concept
Bernama 13/12/2006

KUALA LUMPUR, Dec 13 (Bernama) -- The government has yet to set the launching date of the build and sell concept as a lot of developers still do not have the financial capability to carry out such projects.

Housing and Local Government Minister Datuk Seri Ong Ka Ting that said if the concept was implemented hastily it could jeopardise housing development, especially in the urban areas.

"We encourage the concept to run parallel to the conventional concept," he said when winding-up the debate on Housing Developers Bill (Control and Licensing) (Amendment) 2006 in Dewan Rakyat here Tuesday.

The bill was later approved by Parliament.

Ong said the amendment would give better protection to housebuyers as heavier penalties would be imposed on errant developers.

Among others, the amendment would enable housebuyers to terminate the sale and purchase agreement after a grace period of six months if they were not happy with the projects.

They can also seek redress at the Tribunal for Home Buyers Claims for claims not exceeding RM50,000 unlike the RM25,000 at present.

The amendment also allows the Housing Controller to issue an order to freeze the Housing Development Account of developers in breach of the act.

"Problematic developers will be in a tight spot because the penalties are heavy," said Ong, adding that developers carrying out the build-and -sell concept would not be feeling the crunch from the act.

The Dewan Rakyat sits again Wednesday.

-- BERNAMA