OCCASIONAL PAPER SERIES – FDTCP 01/2011 Land Use Planning System : Its Role in Housing Development Process
After all the approvals are granted, the next step is to start the sales and construction. The sales activity requires the developer to decide the selling price for all types of houses, make a continuous marketing and advertising to promote and to attract buyers, and administer matters related to finance (facilitating buyers to get end financing from financial institutions), sales agreement and transferring of land title from the developer to individual titles for each housing buyer. The construction stage is the most crucial stage in the process of housing development. This stage requires the developer to manage the project planning (scheduling, budgeting and progress monitoring), contract administration (tender documentation, selection and contract) and finance control (bridging and end financing) systematically (Dani, 2009). Consultants and contractors involved in the housing project also need to be mobilised efficiently to ensure it is completed within the determined period. According to the Housing Developers (Control and Licensing) Rules 1989, the developer has to deliver the vacant possession of the landed housing within 24 months of the signing of the agreement. This means developers could not go beyond 2 years of the construction period. After the completion, all the housing units need to be handed over to the purchasers. However, no occupation of a dwelling is allowed until and unless a CFO or CCC is issued. There are many issues in the process of housing development in Malaysia that can be explored. The problems of delay, bureaucracy and lack of co-ordination in the approval process are among the issues that are frequently related to the process. This paper however, will not touch the issues in detail. The concern is more on the aspect of planning and controlling of housing supply, which is also one of the important components in the whole process of housing development.
5.0
HOUSING PLANNING PROCESS IN MALAYSIA
The preparation of development plan and implementation of planning control in Malaysia have an equal role in the planning and controlling of housing supply. The planning for housing supply begins at the national level through the preparation of NPP, followed by SP at the state level. The process of planning of housing supply continued at the local level through the preparation of LP and SAP. The outcomes of the plans will be used as guidance by the LPAs to control and approve the applications of housing development. 5.1
The Planning of Housing Supply
As mentioned in the previous sections, the development plan plays an important role in planning the development of urban land uses. In the planning of housing land use, there are five main purposes that should be performed by development plan (Prior, 2000):
Federal Department of Town and Country Planning, Peninsular Malaysia
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