Will DBKL terminate housing contracts for subletting to foreigners?

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DBKL Will Terminate Housing Contracts for Subletting to Foreigners

Kuala Lumpur City Hall (DBKL) will immediately terminate the contracts of People’s Housing Project (PPR) tenants or nominees found to be subletting their units to foreigners. DBKL considers this a serious breach of the rental agreement, especially given the significantly lower rental rates provided to registered tenants compared to what they charge for subletting. This policy applies to both subletting to foreign nationals and cases where the registered tenant does not reside in the unit, allowing others, including family members, to occupy it instead.
Mandatory Contract Termination

The termination of rental contracts for subletting to foreigners is mandatory and non-negotiable. DBKL has set a very low rental rate for PPR units, with examples showing tenants paying as little as RM140 per month and then subletting these same units for RM600 or RM800. This practice is viewed as profiteering and a direct violation of the terms of the agreement, leading to disqualification.
Strict Enforcement Against Unauthorized Occupancy

DBKL's enforcement extends to situations where the contract nominee or registered tenant does not reside in the PPR unit but allows family members, such as parents or siblings, to occupy it. The housing contract explicitly states that only the nominated individual or tenant is permitted to live in the unit. Failure to adhere to this residency requirement is also grounds for contract termination.
Grace Period for Rectification

While immediate termination is the standard, DBKL may offer a grace period for tenants to rectify their mistakes in certain circumstances. For instance, if a tenant provides a justification such as needing to return to their village temporarily and allows a sibling to stay in the interim, DBKL might grant a period of up to seven months to correct the situation. However, failure to comply within this stipulated timeframe will result in the contract being terminated.
Reporting and Assessment Process

Action will be initiated upon receiving reports of such breaches. DBKL will then conduct a review or assessment to verify the reported violations. This process ensures that decisions regarding contract termination are based on verified findings of subletting to foreigners or unauthorized occupancy, upholding the integrity of the PPR program.

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Will DBKL terminate housing contracts for subletting to foreigners?

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