Malaysia’s public housing agency renews partnership with 17 developers

Agreements worth MYR3.29bn

Public housing agency Perbadanan PR1MA Malaysia (PR1MA) has renewed partnership agreements with 17 developers, state news agency Bernama announced Friday.

The agreements, valued at MYR3.29 billion, is seen as a reaffirmation of the agency’s commitment to delivering affordable housing to the rakyat.

“The renewed partnership between PR1MA and its developers paves the way for the parties involved to work together strategically, including the sales and marketing aspects of the projects, to complete PR1MA projects within the stipulated time and budget,” PR1MA said in a statement.

The agreements also serve to improve PR1MA’s financial position and resolve the issue of unsold residential units and delayed payments, according to PR1MA acting chief executive officer Mohd Nazri Md Shariff.

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“It includes extending the sales and marketing functions to the developers, as well as enhancing collections from buyers to ensure that developers’ monthly progress claims are paid,” he said, adding that the agency has undergone due diligence process, corporate restructuring and management change process over the last year.

“[This] was necessary to ensure that we are aligned to meet Ministry of Housing and Local Government’s (KPKT) objective in ensuring sufficient, holistic and affordable homes are available for the rakyat,” he added.

Under the previous agreement, developers and contractors are only responsible in building houses and are paid a monthly progress payment by PR1MA.

PR1MA projects will support the federal government’s agenda of delivering one million affordable homes over the next 10 years, Bernama noted.