Penang government to review charges imposed on property developers

Last update: 21/07/2018

GEORGE TOWN, July 21 (Bernama) -- The Penang state government is reviewing all charges currently imposed on developers to make property prices more affordable for consumers.

State Housing, Local Government, Town and Country Planning Committee Chairman Jagdeep Singh Deo said the state planning committee had decided on the review at the request of Chief Minister Chow Kon Yeow.

He said the charges inflated the prices of properties which would be borne by the consumer, but upon review, is expected to fall.

"I have established a committee to conduct the review and is currently compiling the various charges being imposed," he told reporters after attending the Penang MAPEX 2018 here today.

Earlier, Chow, who is also the State Assemblyman for Padang Kota, launched the event organised by the Real Estate and Housing Developers' Association Malaysia (REHDA) at Udini Square.

Jagdeep said upon compilation of the charges, the committee would seek suggestions from REHDA before making any final decision.

He said among the charges to be reviewed are those for development, infrastructure and amenities.

Meanwhile, REHDA Penang Chairman Datuk Toh Chin Leong said according to the National Property Information Centre (NAPIC) 2017 report, the residential overhang in Penang was less encouraging, as the numbers grew during the review period.

He said developers are still lumbered with a high number of unsold stocks.

Toh said REHDA was thankful to the state government for assisting in promoting MAPEX 2018 by providing special incentives, such as the waiver of the levy on foreign purchasers, and the two percent levy on sub-sales within three years.