KAMPUNG Sungai Baru residents are pleading with Prime Minister Ismail Sabri Yaakob to cancel a gazette that allowed a developer to acquire their dwellings and compensating them, which they say is an unfair sum.

“The residents want justice and reasonable compensation from the developer. The offer made by the developer to the owners of the flats and terrace houses is ridiculous,” said former federal territories minister Khalid Abdul Samad at a press conference today following a protest. 

“Paying RM200,000 and asking them to move out, where will they go? Can they buy a RM200,000 house in Kuala Lumpur? The developer should upgrade the residents’ livelihood, not downgrade them.

“They are owners of the flats and terrace houses. They are not squatters, so the developer must show respect and make a better offer to the owners in Kampung Sungai Baru.

“Today, we are here to demand the prime minister to intervene and help the homeowners. They are all Malays.”

A week ago, The Malaysian Insight reported that households in the Selangor State Development Corporation (PKNS) flats in Kampung Sungai Baru are refusing to move out even after an eviction notice following a takeover of the land by a developer.

Those refusing the order say they will stay put to fight for higher compensation than the RM250,000 offered per household in the high-value prime location facing the Petronas Twin Towers.  

The last Malay reserve village in the middle of the city, Kampung Baru is iconic and dear to its residents and heritage conservationists who want to preserve the area’s cultural and historical significance.

Plans for its redevelopment have been controversial, involving disputes over the amount of compensation from developers and the aesthetics of new projects that alter the area’s traditional Malay look and feel. 

The PKNS flats, located near the Saloma Bridge, has eight blocks of 264 residential units and sits on 1.4ha of land. 

The issue of land acquisition in the area started in 2016, when the developer, Ritzy Gloss Sdn Bhd, which is a subsidiary of Suez Capital Sdn Bhd, made an offer to develop the area through a joint venture with the residents. This was aimed at giving the residents a say in their relocation and the development plans.  

Since then, until 2020, the developer has reportedly obtained the approval of 226 flat owners and 27 terrace house owners in the area. 

The development plans for the area include the resettlement of all flat and terrace house residents in new apartment blocks that are promised to be of high value. Luxury condominiums, offices and retail space would be built in the land to be taken over.  

Ritzy Gloss has said the new apartments where flat owners would be resettled will be between 900sf and 1,200sf and worth between RM850,000 and RM1.2 million.

Despite the promise of a high-value property, the 38 flat unit owners and another 71 terrace house owners have refused to accept the deal because the developer failed to provide official documents to back its claims. 

A majority of households in Kampung Sungai Baru refuse to leave. 

Meanwhile, a resident who wished to be known as Azlan, told the press that the developer’s claim that it had obtained approval from the majority of the people in Kampung Sungai Baru is untrue.

Azlan, a third-generation resident, said almost everyone in the area objected to the developer’s offer and is demanding new negotiations. 

“To say that everyone has agreed to move out is not true. In fact, many of us refused to accept the offer because it is ridiculous,” he said. 

“We want them to give us a better offer, upgrade our livelihood. They can’t give us RM200,000 and expect us to live normally.  

“The way they are going about the deal is also wrong. You produce the eviction notice and then you want to negotiate.

“You shouldn’t produce the eviction notice in the first place because we haven’t agreed to your proposal.”

According to Azlan, the residents met Federal Territories Minister Shahidan Kassim yesterday.

Azlan said he was informed that Shahidan would send an independent valuer as soon as possible to settle the dispute.

“Shahidan said the matter will be resolved in a week. But we want the developer to cancel the eviction notice,” he said. 

Last December, during a parliamentary meeting, Shahidan gave the assurance that land acquisition in Kampung Sungai Baru will be done fairly by prioritising the interests of the land and PKNS flat owners.

Shahidan said he will personally negotiate with the owners and developer to ensure a fair agreement could be reached. 

He said this in response to the motion brought by Khalid (Shah Alam-Pakatan Harapan) relating to the issue of Kampung Sungai Baru. 

Khalid had questioned the government’s action in using the provisions of the Land Acquisition Act 1960 to acquire land in the area for redevelopment by private developers. – April 16, 2022.