GEORGE TOWN: Developers who force buyers of the state government's affordable housing schemes to sign up for developers' "renovation packages" to hike prices, may face being blacklisted.
State Housing Committee chairman Datuk Seri S. Sundarajoo said he was aware of such cases and had received complaints that developers had requested that buyers take up such renovation packages.
He said buyers had every right to reject the renovation packages.
"The developers are not supposed to do this (force buyers to take up such renovation packages).
"They should stick to the price given by the state government. The price must be our offer price.
"We will not hesitate to take stern actions against such developers, including the possibility of blacklisting them," he said after the launch of the States Housing Symposium 2023 here today.
Penang Parti Rakyat Malaysia (PRM) vice-chairman Ravinder Singh had recently told the Penang government to put its foot down on backdoor practices that were hiking up the price of low-cost housing in the state, adding that such practices made a mockery of the state government's low-cost housing scheme.
He said the state government offered houses at certain fixed prices (RM42,000 for two-room units, RM72,500 for three-room units and RM150,000 for bigger units).
He, however, claimed developers refused to sell at the offer prices and instead called the shots by compelling purchasers to sign up for "renovation packages" that cost as much as or even more than the offer prices, charging extra for higher floors starting at around RM1,000 from 5th floor upwards and increasing by each floor and also charging extra for corner units.
Sundarajoo said, after all, all development planning would have to go through him and the local government.
"We have the power to stop them as the local authority and state government.
"We will not tolerate them forcing buyers. We will not accept this.
"Stern action will be taken against them and their future developments," he added.