What are the current lease extension options for Petaling Jaya property owners?

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Lease Extension Options for Petaling Jaya Property Owners

Leasehold property owners in Petaling Jaya currently have two distinct options for extending their lease tenure. The first option allows for a nominal fee extension with specific transfer restrictions, while the second option requires a full premium payment for a 99-year renewal, enabling property sale.
Nominal Fee Extension with Transfer Restrictions

One available avenue for leasehold property owners is to pay a nominal fee of RM5,000. This payment grants an extension of the leasehold up to a maximum of 99 years. However, a significant stipulation accompanies this option: the property can subsequently only be transferred to a spouse or biological or legally adopted children. This limits the future marketability and inheritance possibilities beyond immediate family.
Full Premium Renewal for Property Sale

Should a property owner intend to sell their leasehold property, a different process is mandated. This involves renewing the lease for a full 99 years and concurrently paying a premium calculated based on a specific formula. This formula involves the land's value, the lease duration, and the land area, with a factor of one-quarter of one percent applied.
Discount and Payment Timeline for Full Premium

While the full premium renewal is required for property sales, a 30 per cent discount is offered to eligible owners. To avail this discount, the premium must be settled within a six-month period following the issuance of Form 5A, which is the official document for lease renewal. This timeframe necessitates prompt action from owners looking to sell and benefit from the reduced payment.

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What are the current lease extension options for Petaling Jaya property owners?

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