LANDOWNERS in Kg Baru have rejected Putrajaya’s offer to buy their land at a maximum of RM850 per sq ft, saying the sum was inconsistent with the market value of between RM1,500 and RM3,000 per sq ft.

Residents and landowners told The Malaysian Insight that the government was preventing them from obtaining higher value by citing the land’s status as reserve land. 

Landowner Aziz Alias, 68, said land in Kg Baru had not been properly valuated, in a bid to “press” owners to accept the government’s price.

“The land price can be negotiated again, and we understand that the government has provided four options.

“The main issue in Kg Baru is that there are many restrictions. 

“The land belongs to the Malays and the land status is agricultural land. To obtain a good price, we must first release the land,” said the developer, who owns a 16,000 sq ft plot. 

Aziz said the status of the land has blocked Kg Baru’s Malay community from growing and attracting investors.

“We don’t want to sell first. The government has to deal with the sanctions first. Then, there will be investors coming in.

“The land is locked up (as Malay reserve) right now. When it is unlocked, then investors will come in. 

“(It should no longer be) Malay reserve (land), but commercial land, for which there is commercial value. 

“When it is opens as an international zone, prices will soar and investors will come in,” he said.

Federal Territories Minister Khalid Abdul Samad had earlier said the government had offered to buy land in Kuala Lumpur’s Malay Kg Baru enclave at a maximum value of RM850 per sq ft. 

He said the figure was the highest that could be offered and was based on an assessment by the Valuation and Property Services Department.

“The government is offering to buy Kg Baru land at RM850 per sq ft. That is the highest estimate by the Valuation and Property Services Department, taking into account the condition that ownership can go only to Malays,” he said during a town hall session with land owners today. 

Khalid said landowners would be offered four types of compensation: cash, completed units, a combination of completed units and cash, or shares in a special purpose vehicle.

However, Khalid said the government may consider a higher price for the purchase of Kg Baru land for redevelopment.

He said this would be discussed in detail with Prime Minister Dr Mahathir Mohamad, and the outcome would be known in a month’s time.

Meanwhile, another Kg Baru landowner, Khairul Fitri Mohammed, 47, said he was also disappointed with the compensation sum, saying Dr Mahathir had quoted a larger sum prior to the 14th general election last year when he visited the Malay settlement.

“Dr Mahathir spoke at the Paya Village Hall and said landowners could get between RM2,000 and RM2,500 per sq ft. So, the villagers will hold on to that.

“If they give us that price, then many will line up to sell.”

Architect Kamal Mohd Din, 80, who owns a 2,400 sq ft plot, dismissed the offer.

“The price is illogical. Our land is already worth RM3,000 per sq ft – why would we want RM850 for it? 

“To me, RM1,500 per sq ft is enough, even though the area around KL is above RM3,000 per sq ft,” he said. 

Syed Muzarin Syed Kamarul Bahrin, 45, said the price offered was outdated. 

“There’s a huge difference between this offer and the price for land around KLCC and in Jalan Ampang. This offer looks like prices from 15 to 20 years ago.

“If the government wants to help the Malays, there are various ways to do it. 

“We also see no loss in not selling our land to the government.

“Everyone was shocked by the price Khalid quoted. In this case, it is best not to take it and let us develop our land ourselves. Give us an allowance or loan, or anything else we need to help the Malays build Kg Baru.” – September 21, 2019.