Challenges of Implementing Build-Then-Sell Housing Delivery System to Address the Abandoned Housing Problem in Malaysia

Abstract

The manifestations of housing projects being abandoned are detrimental to the Government and house buyers. The suggestion to implement the Build-Then-Sell (BTS) Housing Delivery System by the Malaysian Government is an effort to tackle the problem of abandoned housing projects in Malaysia. However, it needs the cooperation of housing developers who have been first selling the houses and then building them, in what is known as the Sell-Then-Build (STB) system. The Malaysian Government has proposed the 10:90 BTS housing delivery system to deal with grievances of house buyers of abandoned housing projects. However, the Government’s plan to require housing developers to adopt the 10:90 BTS system in 2015 was not carried out as the developers raised several issues related to its implementation. In view of the problems faced by house buyers of abandoned housing projects, the Federal Government appointed the Ministry of Urban Well Being, Housing and Local Government to revive these projects. In the housing industry, the interests of all stakeholders need to be considered. This is  to ensure that the housing delivery system is technically feasible and acceptable, and the problem of abandoned housing is resolved to the benefit of all parties.