H, want to make a thread here, everything and anything under the sun related to Malay Reserve Land or Tanah Rizab Melayu and Bumiputera House & Property quotas.

First off, want to ask about desirability of owning Malay Reserve Land. Is it worth it in terms of investment and also for stay (with view of selling in long-term)?
Usually when you buy, you can't profit a lot since restricted only to a particular group, however prime locations dictate otherwise such as Kampung Baru and certain other Kampung Melayu surrounding KL. So, what are the early signs or indicators of which Malay Reserve Land (MRL after this) will be worth it? is it worth purchasing MRL say in Putrajaya or Nusajaya (Kota Iskandar) etc, with a view of selling in long-term? Or will profit margin be too minimal compared to other investment vehicles? Flipping MRL doesn't usually happen if any so its usually for long-term hold.

As for Bumiputera quotas, is it worth buying from this quota since again reselling is restricted to certain group? So, if looking to flip, almost no chance and won't fetch as high a price as other open or international houses. Then again, what if in the view of buying a Bumi lot, but then apply to get it changed to open status when reselling? It's possible in Selangor under current PR govt and just pay about RM5k if im not mistaken. So, will it be a higher profit margin if do this route in terms of investment (flipping)?

Another question, lets use an example of a house in Malay Reserve land which automatically means bumi lot and much tougher to sell, what would be the desirables that would make it much easier to sell or resell? in terms of demographics, what type of houses, size, features or amenities if any, that would make it desirable in long-term?

Hope the gurus can share some opinions on this. even if not fully experienced with bumi lots and MRL, atleast can provide some info and expertise or experience in situations similar to this?

u need high holding power to wait for:

1. govt change the policy to allow open sales to non bumi
2. wait till all bumi are in love/crazy about prop like chinese.

traditionaly chinese like to accumulate prop or land for:
1. passive income
2. retirement (cash out when old) and hedge inflation
3. children education fund
4. flip to make more $ (wealth)
5. to give to their children (if they hv 10 child so they need to accumulate 10 prop), and the cycle goes on...but the habit stay even they have only 2-3 child. hehe
6. to show off? especially among tycoons
7. holiday, weekend house?
8. for mistresses x 3??
9. for tax (holding co, capital allowances, staff benefits, resort etc)

in old days chinese like to buy land for agri and crop activities (to grow wealth). now changed to prop investments. (but the theory is the same)

investing in malay reserved land and bumi lots is like watching paint dry.

hahaha.. best answer



this is assuming that the bumi are buying the properties for own use in the longer term.
but what are the indicative factors and signs that can show what would be a pre-inlfation of prices, or good investment with view that it will rise in price in the medium term (2-7 years perhaps)? surrounding development / opening up of new factories (job creation=more people) / tourist hotspots (for homestay / rent / etc) to name a few? how to judge what would be a success and what (despite grand projects in pipeline) will be a bust?

thanks very much for your answers and contribution to discussion

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Added on August 10, 2011, 9:23 pmmaybe. if theres money to be had. money is money.
im just curious, if in selangor, can buy a bumi lot at 7% discount off say a rm500k property, thats rm35k discount.
to change the title, possibly only say rm5k + rm2k other expenses, right off the bat can profit rm28k off original price. not taking into account the price will probably rise in due time, its potentially higher profit margin.

This post has been edited by comics_junkie: Aug 10 2011, 09:23 PM

I may be reviving this thread. I got to know that Aman Heights 3 at Bkt Serdang is an MRL.

The area is 85% Chinese... what would be the cons? Can someone enlighten?

I am buying for own stay and had already dumped in the booking fee. I will have to forfeit RM 1000 if I cancel the booking.

Please advise.

OK. I think a lot of people do not understand the differences between Malay Reserve and Bumi lot. These are two distinctly different types of properties.

Malay Reserve land is actually provided for under the National Land Code. These land are specifically for MALAYS, not bumiputera as there are many types of bumis in Malaysia. Once a land is gazetted as Malay Reserve, then it is virtually impossible to convert to an "international" title UNLESS a similar piece of land (international lot) with similar value can be provided for in exchange to convert this land to unrestricted (this is provided for under NLC). Malay Reserve land has too many restriction and hence is very reduced in value. The best example as shown by TS is Kampung Baru where if it has been international, it would be a massive gold mine. Development built on Malay Reserve can only be sold to Malay and hence it might be difficult to garner any impressive values. In future these properties can only be sold to Malay. With so much restriction, it is very often that most people are reluctant to develop Malay Reserve land. I have done it once before and completely failed at Exco level 3 times even though I personally appeal the entire Exco and MB. Apparently it was a lot easier done more than 10 years ago than it is now.

Bumi lot is NOT provided for under National Land Code. There is no specific section in dealing with it. That's why I find it interesting that a land title can be chopped Bumiputera Lot but yet can easily be converted to non-bumi as long as MB signs the approval. In order to convert to non-bumi, you need to advertise in the newspaper for no less than 3 times within 3 months and that there is no interested parties EVEN at a reduced price. Conversion can be done at land office but seriously, I have never attempted to do it myself. I normally used a runner and so far it has been 100% foolproof. The fastest approval is 3 months to my longest is 18 months. My rate of success so far is 100% and I have done over 30 conversions. So I believe conversion should be easy and on hand I am still waiting for approval for 2 properties purchased in March 2012. Do not ask me for my contact for lawyers or runners as they prefer to do business with people there are familiar with. My apologies.

Kiara view is on Malay reserve land near sungai penchala
Every year I see the semi ds there increasing
Initially 1.4 million

example of Malay land making money

Unfortunately it is the only one.

Can avoid then avoid ...

Other places I think taman tun also have Malay reserve
Condos appreciate also

Are you certain they are Malay reserve or Bumi lot? Taman Tun has Malay reserve?

Whole condo Malay reserve nearby penchala

Surely MRL houses can get value appreciated also, normally the project needs to have minimum 50% quota, some 70% ...
So, theoretically, it may not be as high as others, and also other considerations ...

My friend just bought a condo and found out in the document..... from lawyer..


- It can be sold to non-Malay
- as long as the ownership does not changed to a Malay then non-Malay can buy it

- Once the ownership changed to Malay.. it seems the Malay reserve land thingy only enforce.

Can someone enlighten this?

This post has been edited by davidlow7: Jun 2 2012, 12:37 AM

There are alot malay reserved land semi dees at sepang area selling at almost 1 million price tag... Not to forget vacant malay reserve land selling near sg merab bangi at more than RM50/sqft

davidlow7, tq for sharing, the first 2 interpretations are right, the 3rd one... I already shared earlier:
In what you've posted:
Dalam erti kata lain, hakmilik tersebut apabila telah dibangunkan menjadi kondominium kelak boleh dijual kepada bukan Melayu tetapi tertakluk kepada kuota pembelian bumiputera yang disyaratkan oleh Pihak Berkuasa Negeri. Akan tetapi perlu diingat, sekali pemilikan tersebut bertukar tangan kepada Melayu, hakmilik tersebut akan kekal sebagai Rizab Melayu dan tidak boleh diurusniagakan lagi kepada orang bukan Melayu. "

i got a question. i am married with no kids.
i am a bumiputera and my wife is a chinese.
i just noticed i have serious disease lately and how can i transfer my property name to my wife because it was bought under bumiputera.

Very good husband!

Was you I read someone shared that even a "Will" is not allowed.

I'm not fully sure about your case, but I highly think that it can be solved through "appeal" (means that you only need to go through normal Sales & Purchase process) ... Double check with a lawyer with experience dealing with your area of houses (it varies from one state to another, from one to another if high-rise).

For the quota part, I am abit confused... Does it means the condo units in the project has to be sold to the Malays in order to hit the minimum quota?

Yes ... landed houses having the same thing also.
Check key word "bumi quota" to get more information from LYN or elsewhere.

Thanks. It is weird when the developer says the project (condo) has no bumiputera quota in it.

I supposed this is enforced for every project for the bumi rights under the Malaysia constitution.

Well, I wonder why would we have such a T&C at the first place. Such as it can be sold to non-Malay and the moment it is sold to a Malay then only it cannot be changed hand to a non-Malay.

Am looking at a ssl hse and it is a open title bumi lot according to the owner. If i were to buy this unit would it be difficult to convert it and what are the procedures and additional cost incurred besides the purchase price of the unit. The unit is in PJ by the way.

Appreciate all advice.

Thanks for this valuable information.

I am dealing with one bumi lot now. The Malay bought the house form Chinese owner 4 year ago. Do you think chances is high to buy successful buy this?

A lot of the titles would state that once a bumi has bought the house, it would automatically revert to bumi status. It would be good if the title is silent on that. If it is silent, then it should be international lot. If it is bumi lot, you need to apply for consent to convert the title.

Thanks Man. How do check it is international lot or bumi lot? refer to strata title?

Yes should be stated in strata title.

serene kiara 1 sold out and 2 now like hot cakes. all malay reserves. Owned and developed by Tun Hussien Onn Son, Datuk Haris Onn. A charming leader.

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Added on July 17, 2012, 12:10 pmdepends, they willing to pay as market rate for prime area like mont kiara. Big boys don bargain, they grab

This post has been edited by peri peri: Jul 17 2012, 12:10 PM

I also experience the same thing. I purchased my house from a Chinese almost 4 years ago. I am wondering whether or not I have the STRATA title with me. However I called my lawyer which handles my other properties to seek an advice. He told me a BUMI lot in only applicable if the developer sells it to a bumi. If the developer sells it to a non-bumi and then the non-bumi sells it to a bumi, it IS NOT considered a bumi unit since the 7% discount has never been claimed nor given to anyone. It does make sense doesn't it?

Try Serene Kiara and desa budiman. very niche surrounding to live with.

i consider this racist thread...

Blame the govt policy, be it federal or state, NOT the thread. This thread is merely discussing what has been implemented. Don't like it, go and lobby the state legislative assembly. Until then we'll only discuss what is already implemented

Hi Guys,

Lately there has been some confusion with regards to Malay reserved land especially for Selangor or KL.

Some say that:

1. only pure malay bloodline can buy
2. only if your father is a Malay then you are allowed to buy
3. only if one of your parents are Malay then you are allowed to buy

anyone here knows about this?

Did you guys encounter the developer apply for bumi lot quota waiver? Which means the developer has sold out for 90% and only left 10%.

This 10% suppose to reserve under bumi lot. After it launch for 1 and half years, there no more bumi buyer for these 10% lot.

Now developer going to apply for bumi lot quota waiver, higher chance to get it?

No worry... Now days Malay reserved land selling like hot cake...

A very good example is Saville Bangsar... All 60% non bumi sold out!! Waiting another 20% release only...

Developer say no problem and the price has increase 5% from launched...

I see Malay reserved property have more flipping potential as cheaper cost...

Anyway, developer bought this Malay reserved land at pantai dalam 76 million for 5 ache!

Is this consider cheap?

I am in the midst of buying a property which is stated as Malay Reserve Land. It is a sub sale buy from a Chinese owner. Although transfer to non-bumi to non-bumi can be done but securing a loan for these type of property is difficult.

Currently, we are trying to get loans from some banks for the property, we realized that banks such as Standard Chartered, Public Bank and Hong Leong Bank do not offer loans to such properties...

So to future buyers, please state to the bank beforehand if you are buying a Malay Reserve Land, whether they offer loans to such property.

There are plenty of banks offer loans to Malay reserved land project... At least Malaysia main bank; Maybank doin... U an try and they could give very competitive interest with 95% margin...

MRL, the owner can change ownership from malay to non malay (subject u can get consent from developer i think) but title of the land cannot be amend?

Yup.. U have to get consent from local authority...

It depends on which authority nowdays, if DBKL is the easiest.. 3 months approval out.

Title will be strata and only non bumi can sell to either bumi / non bumi. Anyway, once sold to non bumi, that unit will convert bumi unit automatically.

How to check whether the land is Malay reserved land or not? because developer normally put the land status as Freehold if it's a JV project. Do we need to go to land office everytime before purchasing a property?

Developer should have informed buyers up front...

Out of curiosity,referring to saville bangsar,the status shown in the website is Freehold but someone found out it's located on MRL. it's contradicted isn't it?

Just to clear your curiosity. I'm 1 of the buyer of saville Bangsar too.

Saville Bangsar is a freehold land that fall on MRL. So there are restriction with it. Supposedly this project could only max 50% allocation to non bumi. Anyhow, as developer have strong tie with our government, developer manage to get 70% allocation to non bumi as others normal leasehold quota.

Hope this help you...

Hi, I am currently writing a paper on Bumi lots and Malay Reserve Lots. Can you please let me know where I could acquire this document for reference? I hope it's available online

Why need to write a racist paper? LOL

Do you mean Bumi lot? Or MLR? Cause I there is an earlier post saying that MLR cannot be sold/rented to non-bumi at all.

Check national land code...on MRL..

Kiara Hills at Mont Kiara..

I got to know that Aman Heights sri kembangan is an MRL.

I am buying for own stay and had already make booking fee. Lawyer is telling me that i may face difficulty when the title change from master to strata as i'm non bumi...is that true?

The owner is chinese too. If is MRL, why developer is allowed to sell it to non bumi? if based on percentage of unit allocation, aren't mean that non bumi also legally able to convert title to strate, since non bumi is allowed to purchase at the first place?

Please advise.