The much-debated Kampung Sungai Baru redevelopment project has reached a critical milestone, with the Kampong Bharu Development Corporation (PKB) confirming the compensation details for affected owners. Depending on property type, replacement homes and benefits are valued between RM884,000 and RM8.1 million.

Who Is Involved

The redevelopment involves:

Flat owners under PKNS Sungai Baru.
Terrace lot owners in Kampung Sungai Baru.
A developer appointed directly by the owners’ welfare association.
PKB as the overseeing federal agency.
PKB emphasized that the government has no vested interest, clarifying that this is a private initiative between owners and the developer.

What Owners Will Receive

The compensation package includes:

Replacement homes sized 969 or 1,200 sq. ft.
Consent payments.
Moving and relocation costs.
Cash top-ups for terrace lot owners if replacement value falls short.
Ex-gratia payments for renovations.
Temporary rental or transit housing during redevelopment.

Breakdown by Property Type

Flat owners: One replacement home worth RM884,000 – RM1 million.
Terrace lot owners: Three to nine units, collectively valued between RM2.7 million – RM8.1 million.

Compensation amounts were set by the Federal Territory Land and Mines Office in line with the Land Acquisition Act 1960, with input from the Valuation and Property Services Department, Ministry of Finance, and private valuers.

Key Dates and Timeline

2020: 66.77% of owners initially gave consent, rising to 71.95% after further talks.
June 21, 2021: Land acquisition gazetted under Federal Government Gazette No. 9412.
Dec 11, 2023: Eight flat blocks registered by court order.
Mar 27, 2024: Terrace lot titles transferred to developer.
Q1 2026: Construction expected to begin.
Late 2029: Replacement homes to be handed over.

PKB confirmed that titles have already been transferred to the developer. It explained that once compensation was paid and Form K (Notice of Ownership Acquisition) was issued, owners no longer retained rights over their properties.

Challenges and Objections

A total of 75 objections were recorded — 13 from terrace owners and 62 from flat owners. These cases were referred to the High Court via Form N, but PKB stated that redevelopment can proceed without waiting for court decisions.

“Construction is expected to begin in the first quarter of 2026,” PKB said.
“By late 2029, owners who consented to the joint venture will receive their replacement homes,” it added.

Frequently Asked Questions

1. How much compensation are owners getting?
Flat owners will each receive a replacement unit worth RM884,000–RM1 million. Terrace lot owners will receive three to nine units worth RM2.7 million–RM8.1 million.

2. Who decided these values?
The Federal Territory Land and Mines Office, based on the Land Acquisition Act 1960, with valuations from government and private valuers.

3. Is the government directly involved?
No. PKB stressed this is a private initiative between the developer and owners.

4. When will owners get their new homes?
Construction is set to begin in early 2026, with completion and handover by late 2029.

5. What happens to objections?
Cases are with the High Court, but construction will not be delayed pending decisions.