Penang to build 20000 ‘affordable’ homes


Amidst disquiet about the high property prices in the state, the Penang government has announced that eight projects, which will provide 19425 new homes in the state, are in the pipeline.

The projects are:

  • Jalan S P Chelliah (1900 homes over 11 acres): This works out to 172 homes/acre, making it a high-density project. Tender awarded to construction firm Zubicon Sdn Bhd.
  • Bandar Cassia, Batu Kawan (11800 homes): Earthworks started. Request for proposal called in April. These are supposed to be designed by Singapore’s HDB consultants.
  • Teluk Kumbar (694 low-medium and medium-cost homes over 5.8 acres): Another high density project at 120 homes/acre, each home about 700-1000 square feet. Estimated cost RM100m. Tender closes on 16 October. Work to start in Dec 2013-Jan 2014. Completion by 2016.

Tenders to be called once land and urban settler issues are resolved:

  • Jelutong (556 homes)
  • Kampung Jawa, North Seberaneg Perai (707 homes),
  • Ampang Jajar, North Seberang Perai (1200 homes),
  • Bukit Mertajam (968 homes)
  • Juru (1600 homes)

Total: 19425 homes

Source: Malay Mail

(Any latest news about Najib’s pre-election pledge that the federal government would build lots of affordable homes in Penang?)

While it is good that the state government is now focusing on building such homes, the prices have to be within reach of those who need them most. The prices are expected to range from RM72599 to RM400000. But flats priced at over RM300,000 cannot by any stretch of the imagination be deemed to be affordable to the lower-income group or even the lower-middle class.

The maintenance factor should also be considered, all the more crucial given such high densities; otherwise these apartment blocks could turn into vertical slums before long. Not only can we learn from Singapore about the design of these flats, we can also find out how they handle maintenance. From what I understand, the residents of HDB flats in Singapore pay affordable maintenance fees to the local council, which in turn responds to maintenance issues such as lift breakdowns and periodic repainting. And there should be sufficient well maintained open green spaces, as we see in Singapore.

Also, public transport must be integrated to these homes; otherwise people will be forced to acquire their own vehicles, further adding to the congestion. We don’t see a maze of motor vehicles parked outside HDB flats and nearby roads (turning two-way streets into one-lane roads), in Singapore, do we?

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Habislah this PeeR govt is forgetting their function of taking care rakyat. Now take care of developer …Only 5 years but already become careless…
They say they will build homes for rakyat but never said the price is affordable. If BeeN solved this problem for rakyat before PeeR start building home for rakyat capped at cheaper price ahead of PeeR and hand them house key before GE2018, the voters confirmed will shifting back to BeeN by GE2018


In some countries like Australia. They provide “livable” homes by renting them out to the poor with an option to buy the property. The rental is dependent on your income, and they track your income via your tax returns. The livable homes are nice units – nothing like the low cost units here.

Lets face it, the low cost unit program is a bit dated. For example, they allocate 1 car park to 3 units. A car is almost a necessity nowadays and therefore you see cars illegally parked outside these flats.


Wow and the police is so hardworking that after their last round in the evening they will come and start writing summons.

Swee Huat

When AES summon is discounted 50%, more summons are needed for BN folks to make the difference?


AND remember – Singapore housing HAS NEVER solved the problem people are demanding the Penang Govt do.


Actually Singapore has never sold houses to low income. What Singapore have always done is rent to lower income and give welfare for rental. Its amazing how many Malaysian don’t have a clue that the original purpose of public housing in Singapore was really about social and national engineering, not welfare. Because it was social and national engineering, firstly the monopoly of commercial property was possible and the cost of maintenance was kept low PARTLY by social engineering – those who broke rules, did not pay etc were ruthlessly dealt, they could not get away with not only damages or… Read more »


Gelakan k
Unlike your corrupt bn
At least its open tender and not sweetheart deals to umno parasites


Penang islander better get set to to to the mainland and most ulu of all Batu Kawan. Have you been there. I have just went over. Just go over and see whether you would like to live there or whether it is convenient for you.

Gerakan K

Here we go again, rm400 000 ‘affordable’ housing. Street hawkers must raising their selling price x10 in order to own an ‘affordable’ house. This is what you get when blindly joining the ubah sweet melody !!!

p/s: If I were chendol seller, I will charge rm10 per bowl for chendol biasa (lite version). Reward time for Penangites. You get what you wished !!!


Who started the 400k affordable houses. No wonder GK just like the m kutty says I don`t remember or just pretending. Remember the N PRIMA 1Malaysia affordable at 400k. And wow its 100% loan but no one qualified for it.

Ahmad Sobri

Gerakan Kid,

Your English is so bad!

Gerakan K

So ???

Plain Truth

Of the 1,900 homes in Jalan Chelliah, only 80 units cost RM400k. That’s just 4%.


Precisely. The cap should be put at 300k. While we do not want to build slums for the future generation, 400k may be a bit high. I think it is a good idea to have a mix of low-cost units (70,000), medium cost units and affordable units (300,000) in each project. Instead of the current trend of creating houses where the very poor live together and the very rich live by themselves. A mix of different types of units in one particular project is good. The maintenance model used in Sg should also be adopted here. People who live in… Read more »


No point build affordable houses as penangities affort to buy high end properties. Even if they buy low cost(under their childrens’ name most of it) it will be rented out to foreigners or companies as hostel which is against the affordable homes regulation.Does any one remember there’s place called “relau” in don’t walk,cars obviously driven up to the main entrance)into this place loads(purposely spelled) of vietnamies,indonesian and who know where are they from can be seen dwelling here.Yet no affordable house,why everyone lives in luxury.No point blaming the state goverment or state on this matter. It’s just pure peoples’… Read more »

Hooi Guan

We have seen many so called ‘affordable houses’ are occupied by pendatang asing.
It is not far to assume that many such houses somehow being purchased by those with ‘connections’ (loophole in the eligibility criteria?) as their 2nd or third house who in turn rent it out for profit as they use the rental proceeds to pay the instalment. Blame it on poor enforcement.


Sadly, there is partially truth, not just in Penang , but everywhere in Malaysia.