OF WHAT USE IS THIS? Najib unveils new body to take over management of low-cost homes

PUTRAJAYA - Prime Minister Datuk Seri Najib Tun Razak announced the setting up of the National Public Housing Management Corporation (3PAN) to monitor the construction and maintenance of the People's Housing Projects (PPR).

He said 3PAN, which would be enforced immediately, would take over the functions of the district councils and local authorities which faced financial constraints to manage and maintain these homes.

Najib said the establishment of the 3PAN was among the decisions made at the National Housing Council (NHC) Meeting Series 3 which he chaired here Friday to discuss the status of the implementation of the One Million Affordable Housing project.

"With the new concept, the government is confident that 3PAN will manage the People's Housing Projects better, including improvements which can be made, and if there is a need to redevelop areas or the projects," he said.

Earlier, Najib witnessed the signing ceremony for the loan extension facility worth RM3bil between the 1Malaysia Peoples' Housing (PR1MA) Corporation and Maybank.

The agreement would sponsor part of the cost of developing residential and commercial units under the PR1MA Homes programme.

Najib said the One Million Affordable Homes announced in 2013 had met its target, with 194,456 or 17.1 per cent of the units completed between January 2013 and June this year.

He said 178,922 units (15.7 per cent) were still being constructed while 349,631 units (30.7 per cent) were in various stages of construction during the same period of time.

PM Najib

Najib said the meeting today also agreed to apply new regulations or concepts in the MyHome (Private Affordable Ownership Housing Scheme) programme.

"The government will provide upfront a subsidy, on condition the developer gives a bond guarantee to the government. At present, the government subsidy is given after the project is completed and purchase signed.

"As such, the new regulation will benefit the buyer and developer under the MYHome scheme," he said.

Najib said the meeting also determined the mechanism for releasing housing units under the Bumiputra quota into the market, previously for six months, but now to be extended by an additional three months.

He said the mechanism was a practice at the state level, if the developer failed to get bumiputera buyers, the units would be released to others.

"The Housing and Local Government Ministry can work to find bumiputera buyers. I was made to understand that in the states like Kelantan, the duration is two years, and now there is an additional three months to get bumiputera buyers," he said.

On the meeting of the National Housing Council with the Chief Ministers and Menteris Besar, Najib said its objective was to foster close cooperation with the state governments through joint ventures in order to find the best solution to provide homes to the target groups. - Bernama