MORE than 10,000 Kuala Lumpur City Hall (DBKL)-owned hawker sites and small business premises in the city will enjoy a 50% reduction in rental from April 1 this year.
The incentive will remain in place until Dec 31, 2027, as part of efforts to ease cost of living pressures.
Minister in the Prime Minister’s Department (Federal Territories) Hannah Yeoh said the initiative would cover DBKL-owned hawker sites as well as selected premises under DBKL’s supervision.
She said the measure was introduced following mounting cost of living pressures caused by global economic uncertainty, including rising world oil prices and logistics costs.
“This initiative is expected to benefit more than 10,000 hawker sites and small business premises in Kuala Lumpur, while helping to reduce the operating cost burden faced by hawkers and micro traders in the city,” she said at a press conference at Bandar Sri Permaisuri hawker’s centre.
Yeoh said the initiative also placed DBKL among the first local authorities in Malaysia to implement a broad and large-scale rental reduction to help small traders and city folk cope with daily living costs.
KL mayor Datuk Seri Fadlun Mak Ujud said rental reduction would be carried out through a blanket 50% cut, with the minimum monthly rental fixed at RM50.
This means that while tenants would receive a 50% reduction, the final rental imposed would not be lower than RM50 a month.
“However, for premises with an existing rental of RM50 and below, the rate would remain unchanged without any reduction.”
“As an example, if the original rental was RM160, the new rate after a 50% reduction would be RM80.
“If the original rental was RM80, a 50% reduction would bring it down to RM40, but the rate imposed would remain at RM50 because it is subject to the minimum monthly rental.
If the original rental was RM30, the rate would remain unchanged at RM30.
To enjoy the rental reduction incentive, tenants must first settle any outstanding arrears before they are eligible for it, added Fadlun.
“This is because there is strong demand for these sites from other applicants.
“DBKL will continue to monitor developments related to the cost of living and will take proactive steps to ensure Kuala Lumpur remains an inclusive, resilient city that cares for the welfare of the people,” he added.
ENDS
Kuala Lumpur City Hall, Hawker Sites, Small Business Premises, 50% Reduction, Rental, Incentive, Minister In The Prime Minister’s Department (Federal Territories), Hannah Yeoh
