KUALA LUMPUR: Experts warn that while the importance of incorporating humane concepts into affordable housing projects cannot be ignored, viability remains a significant challenge.
CCO & Associates executive director Sr Chan Wai Seen said that adopting a humane approach was essential for constructing affordable homes.
He said that beyond providing acceptable living conditions, integrating basic amenities was also crucial for enhancing marketability.
"Properties with amenities also command higher values," said Chan.
He said that the humane concept should reflect the minimum social living standards for the average Malaysian as such housing should include recreational facilities like gardens, playgrounds and swimming pools for relaxation, as well as secure living conditions, including guardhouses.
"Conducive environments for disabled residents, such as lifts, walkways and accessible public toilets are vital, along with sufficient car parks and clean surroundings are some of the humane concepts needed," added Chan.
However, Chan raised concerns about the feasibility of integrating humane concepts into affordable housing projects, citing rising construction and compliance costs as significant obstacles.
"The competitive market conditions due to large supply conditions do not allow developers to increase the selling prices to cover the increase in the development costs," said Chan.
He suggested that the government offer incentives to alleviate project costs, making it more viable for developers to include these humane aspects, or encourage partnerships with specialists in affordable housing.
Rahim & Co International real estate agency chief executive officer Siva Shanker echoed these sentiments, highlighting the complexities involved in integrating amenities into affordable housing projects.
He acknowledged the importance of humane concepts while warning that the associated costs present significant challenges for developers.
"When creating amenities in affordable housing, developers face high costs, which can lead to financial losses," said Siva.
He said there was a need for a delicate balance as affordable housing must cater to low-income groups, yet developers need to at least break even or achieve modest profits.
According to Siva, relying on subsidies to resolve these issues ws not a viable solution. He said developers may hesitate to undertake projects featuring amenities, as this often results in increased housing charges.
"This could lead to unsold units due to factors such as poor locations, design concepts and affordability issues."
He added that many low-income individuals struggle to purchase homes, citing insufficient savings and reliance on programmes like the Employees Provident Fund.
"Even with 100 per cent loans, lower-income groups may still find it challenging to manage repayments," he added.
Siva said that the presence of amenities necessitates ongoing maintenance, which incurs additional costs for residents in the form of service charges.
"If residents cannot afford to maintain these amenities, they will deteriorate rapidly without the necessary funds for refurbishment and upgrades."
He proposed that the sustainability of amenities could be improved if maintenance responsibilities were transferred to local authorities, such as Kuala Lumpur City Hall (DBKL), particularly for facilities like playgrounds.
"Amenities that require less maintenance, such as playgrounds and covered car parks, would be most beneficial for affordable housing projects."
"People appreciate amenities and will use them, but how long can they last without proper upkeep?" he questioned.
Siva said that financial challenges significantly hinder the implementation of humane concepts in affordable housing, and believes a fresh perspective is essential to address these issues, which could lead to long-term problems for the sector.