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Homes worth RM20mil left unoccupied in Penang

bj-houseSome RM20mil worth of residential properties in upper class neighbourhoods of Penang island have been left unoccupied for many years, turning them into eyesores.

The dilapidated buildings at Jalan Masjid Negeri and Lebuh Bukit Jambul have become dumpsites or breeding ground for mosquitoes.

A woman employee of a development firm next to an abandoned house in Jalan Masjid Negeri, who wished to be known only as Loo, said the place has been left idle for more than seven years.

“During the durian season, trespassers help themselves to the fruits.

“Many real estate agents had shown interest in helping to sell or rent out the place but nobody knows the owner.

“Even my boss was interested to buy the house.

“This is considered a prime area. Our rental here is RM5,500 but I believe this house would definitely fetch more as it’s a corner unit,” she said.

Estate broker Lee Hock Hin said property along Jalan Masjid Negeri and Lebuh Bukit Jambul could easily fetch between RM3mil and RM4mil.

He said it was quite difficult to find buyers for the dilapidated houses.

“It’s more for the land only,” said Lee, who has over 30 years of experience in the business.

A Penang Island City Council spokesman said the owner of the unoccupied property in Jalan Masjid Negeri has not defaulted on the yearly assessment payment.

“If the house is occupied by a tenant, we will collect the assessment from the tenant.

“If it’s not paid within 18 months, the house will be seized and auctioned off,” he said.

The assessment is between RM600 and RM1,000 depending on the size of the land, built-up area and location.

He said if the dilapidated buildings posed a danger to the public, action would be taken against the owners.

“We will seal the premises and bill the owners.

“Usually, action is taken if there’s a complaint from the public.

“Once a complaint is filed, we will take action within three days,” he said.

On the reason why some unoccupied houses could not be sold, he said it was usually due to dispute involving family members or associations.

“If the property is sold, the previous owner or the new buyers will have to pay the arrears before any change of ownership is allowed,” he said.

One of the three abandoned houses along Lebuh Bukit Jambul was auctioned off by a bank for slightly over RM3mil recently, the spokesman added.

“Although they are vacant, the owners still pay the annual assessment without fail,” he said.

The Star reported in October last year that eight heritage property in George Town, worth almost RM10mil, were stuck in a legal limbo.

A community of about 180 mah-jeh bought the property during the 1950s to 1970s but with all of them having passed away, their shares have remained under their estate or willed to heirs who may be here or in China.

This rendered the property having too many joint owners to feasibly sell them.

Read source: TheStar.com.my

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