The cost of leasehold properties

A HANDSOME RM952,253, or almost RM1mil, was the renewal premium of an ageing, 60-year-old leasehold property in Jalan Othman, PJ Old Town.

The shophouse owner’s predicament is one example of a decades-old issue faced by owners of Malaysia’s older leasehold properties as their tenures approach expiry. Costly renewals and financing constraints have raised questions about whether these owners, many of whom are in their later years, are financially prepared for the years ahead.