This is an English editorial summary of a report published by EdgeProp Malaysia. Market figures and observations are attributed to the original report.
Read the original: KPKT says 1,726 troubled housing projects rehabilitated, involving nearly 200,000 unitsKey figures
- 1,726 projects revived, covering 199,643 units and RM158.16 billion GDV, as of end-August 2026 (EdgeProp, The Star; Bernama rounded to RM158 billion)
- 1,542 sick projects completed with CCC, 147 sick projects back on track and 37 abandoned projects revived (all three outlets)
- Still troubled in Peninsular Malaysia at 31 August: 278 sick, 128 delayed, 99 licensed abandoned and 163 unlicensed abandoned projects (EdgeProp)
- Kuala Lumpur had 7 abandoned and 12 sick private housing projects at 31 August (Bernama)
- Residensi Hektar Gombak is 92.67% complete, with completion expected in Q1 2027 (EdgeProp)
- Target: zero sick or abandoned housing projects by 2030 (Bernama, The Star)
News summary
The Housing and Local Government Ministry (KPKT) says its task force on sick and abandoned private housing projects, set up in 2023, has revived 1,726 projects with 199,643 units and a gross development value (GDV) of RM158.16 billion as of end-August 2026. Minister Nga Kor Ming gave the figures in the Dewan Rakyat on 14 October, Bernama and The Star reported. KPKT repeated them in a statement on 19 October, reported by EdgeProp Malaysia.
All three outlets gave the same breakdown. Of the total, 1,542 sick projects were completed and received a Certificate of Completion and Compliance (CCC), covering 163,621 units worth RM115.74 billion. Another 147 sick projects were brought back to satisfactory progress (29,900 units, RM40.92 billion), and 37 abandoned projects were revived through completion or other solutions (6,122 units, RM1.504 billion).
Many projects are still in trouble. EdgeProp reported that as of 31 August, Peninsular Malaysia had 278 sick projects (40,818 units, RM38.02 billion GDV), 128 delayed projects (29,048 units, RM24.39 billion), 99 licensed abandoned projects (28,289 units, RM15.40 billion) and 163 unlicensed abandoned projects (10,605 units). Bernama said Kuala Lumpur alone had seven abandoned and 12 sick projects, and that Residensi Laman Segar Hijau and Villa Setara Happy Garden received their CCC in September.
EdgeProp highlighted Residensi Hektar Gombak, now 92.67% complete, with completion expected in the first quarter of 2027 and vacant possession in the second quarter, after local banks financed a rescue contractor. Deputy Minister Datuk Aiman Athirah Sabu said during a site visit that monitoring cannot rely only on reports. EdgeProp said the ministry made 33 working visits to delayed and sick projects up to August, and 23 of those projects later obtained their CCC.
Bernama reported that Nga was also asked about Residensi Wilayah (Pangsapuri Salak Selatan), a 1,120-unit Rumah Wilayah project by Solaris Community Sdn Bhd declared sick on 22 August 2021. On 30 September the court ordered the joint venture agreement between the developer and the landowner cancelled, and the judicial manager plans to appeal to the Court of Appeal.
Nga said coming reforms include option to purchase and order to build initiatives, which The Star said are expected to launch in November. Bernama and The Star both cited the target of zero sick or abandoned housing projects by 2030.
What this means for you
- If you bought into a delayed project, the figures show many stalled projects do get finished, often through rescue contractors and bank financing, but it can take years.
- Before booking an off-plan unit, check whether the project is on KPKT's sick or abandoned list and how its construction progress compares with the schedule in the SPA.
- The option to purchase and order to build initiative has not been detailed yet, so wait for KPKT's rules before counting on any new buyer protection.
Source published 20 October 2026. This summary is provided for general information and is not financial or investment advice.