Residents, rights groups: URA Bill may displace Malaysians, divide communities and enrich developers

Residents, rights groups: URA Bill may displace Malaysians, divide communities and enrich developers



Residents and representatives of various associations during a press conference on the Urban Renewal Bill at the Lawyers for Liberty office, Petaling Jaya, August 25, 2025. — Picture by Choo Choy May

Monday, 25 Aug 2025 2:21 PM MYT


KUALA LUMPUR, Aug 26 — A coalition of housing and residents’ associations has urged the government to withdraw the proposed Urban Renewal Authority (URA) Bill from Parliament, warning that it grants excessive powers to developers at the expense of homeowners.

At a press conference at the Lawyers for Liberty headquarters, representatives from the Kuala Lumpur Residents Action for Sustainable Development Association (KLRA+SD), the National House Buyers Association (HBA), and several residents’ action groups voiced strong objections ahead of the Bill’s second reading in the Dewan Rakyat on Wednesday.



Lawyer N. Surendran of Lawyers for Liberty at a press conference on the Urban Renewal Bill at the Lawyers for Liberty office, Petaling Jaya, August 25, 2025. — Picture by Choo Choy May


Lawyers for Liberty adviser N Surendran said the Bill, if passed, would undermine constitutional rights.


“If a developer secures 75 per cent agreement, the government can use the Land Acquisition Act to seize the homes of the remaining owners. Where is the protection for the right to property under our Federal Constitution?” he asked.



Tan Booi Charn of the Kuala Lumpur Residents’ Alliance at a press conference on the Urban Renewal Bill at the Lawyers for Liberty office, Petaling Jaya, Aug 25, 2025. — Picture by Choo Choy May



KLRA chairperson Tan Booi Charn said the coalition had held multiple consultations with the Housing and Local Government Ministry (KPKT) but most of their recommendations were ignored.


“Almost all our key points were dismissed when the Bill was tabled. If public input is disregarded, what was the point of these engagements?” she said.

“We are not against renewal, but it must protect the people,” she added.



Datuk Chang Kim Loong, honorary secretary of the National House Buyers Association, at a press conference on the Urban Renewal Bill at the Lawyers for Liberty office, Petaling Jaya, August 25, 2025. — Picture by Choo Choy May



HBA secretary-general Datuk Chang Kim Loong questioned whether residents had been consulted on the 139 sites earmarked for redevelopment.

“Instead of uniting communities, the Bill is dividing them — pitting neighbour against neighbour,” he said.

Chang also questioned the Bill’s provision allowing redevelopment after 30 years, despite Jabatan Kerja Raya estimates that most buildings last 70 to 80 years.

Residents from areas such as Taman Seri Endah, Kampung Sungai Baru, and Taman Segar, Taman Cantek, Kuchai Entrepreneurs Park and Kg Sg Baru also cited unsolicited redevelopment offers, alleged pressure tactics from developers, and concerns over increased financial burdens, traffic congestion, and loss of community amenities.

“Without proper safeguards, the URA Bill will displace ordinary Malaysians and enrich developers,” said Rafidah Ibrahim, representing Kampung Sungai Baru.

“If the government cannot do it right, don’t do it at all,” she said adding that they had planned a protest in front of Parliament this Wednesday morning.

The coalition demanded that the URA Bill be withdrawn immediately and redrafted to protect homeowners’ rights.

They also proposed six key safeguards that were absent from the Bill:

• Consent threshold of at least 95–100 per cent.
• Land acquisition powers strictly limited.
• Fair compensation above market value, with profit-sharing for owners.
• An opt-in option for those initially unwilling.
• Stricter rules on developer qualifications and guarantees against abandoned projects.
• A trust fund for building maintenance and public facilities.

The government has said that the Urban Renewal Authority (URA) Bill would establish a clear legal framework to redevelop ageing or unsafe urban areas, with high owner-consent thresholds and mechanisms to assemble land under existing laws.

The Housing and Local Government Ministry (KPKT) said the law will preserve land status and guarantee outcomes no less favourable for owners — including replacement homes of higher value — following extensive stakeholder engagement.


* Editor’s note: An earlier version listing NGO Kuala Lumpur Residents’ Alliance (KLRA Plus) has been updated to Kuala Lumpur Residents Action for Sustainable Development Association (KLRA+SD) following its name change.