KUALA LUMPUR — Malaysia’s long-standing housing backlog is finally easing as the government reports a 24 per cent reduction in delayed private housing projects nationwide, marking one of the strongest turnarounds for the sector in years.
The Ministry of Housing and Local Government (KPKT) revealed today that as of October 31, 2025, the number of delayed projects had dropped from 146 to 111, while sick projects decreased from 353 to 335. The number of abandoned developments also declined, from 107 to 105, underscoring a steady improvement in project delivery across the country.
KPKT attributes the gains to the aggressive interventions of the Special Task Force for Sick and Abandoned Private Housing Projects (TFST), set up by the government in 2023 to address legacy issues plaguing the housing industry.
Since its formation, TFST has revived 1,333 private housing projects, spanning 159,638 residential units and a Gross Development Value (GDV) of RM126.47 billion - a scale of recovery not seen in more than a decade.
For this year alone, TFST successfully restored 395 sick and delayed projects, covering 44,806 housing units worth RM33.75 billion. Additionally, 11 abandoned projects involving 2,085 units reached resolution through either completed construction up to CCC issuance or alternative settlement arrangements for buyers.
Housing and Local Government Minister Nga Kor Ming said the improvements signal a structural shift in how the Madani administration handles distressed developments.
“The reduction in sick, delayed, and abandoned projects proves that the swift actions and coordinated efforts of the Madani Government are yielding results. Each project that is revived carries great meaning for the people who have long awaited the completion of their homes,” he said.
One of the clearest examples of a successful recovery is the Vista Tiara development in Danga Bay. Once mired in severe delays, the RM1.486 billion project involving 2,003 units was restructured in 2024, with MB World Properties stepping in as the rescue developer.
TFST, together with the local authority, technical agencies and utility providers, worked to remove long-standing roadblocks and return the project to a viable footing.
“Vista Tiara is living proof that targeted intervention can revive a once-abandoned project. This is not merely the recovery of a project, but the restoration of buyers' confidence and the dignity of families awaiting their homes,” Nga added.
He said the progress aligns with the broader MADANI Housing Reform Agenda, which includes strengthening oversight under the Housing Development (Control and Licensing) Act (HDA/RPDA), the rollout of digital sale-and-purchase agreements via eSPA, ecosystem digitalisation through HIMS, the TEDUH housing information platform, and mandatory audits of HDA accounts.
These reforms, the ministry said, will help achieve the government’s ambitious target of zero sick, delayed or abandoned projects by 2030, supported by early detection systems and cross-agency coordination.
Nga reiterated the ministry’s commitment to the goal, stressing that proactive governance and industry discipline will remain central to KPKT’s future approach. - December 9, 2025
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