Quashing criticism that Penang lacks affordable housing, especially on the island, the state government announced the construction of four blocks of low- and medium-cost (LMC) units along Jalan SP Chelliah in the heart of George Town.

The state has decided to hand over 7.2 acres of land owned by the Penang Island Municipal Council (MPPP) to the state development agency - Penang Development Corporation (PDC) - to implement the project, Komtar assemblyperson Ng Wei Aik said.

NONE The PDC is currently conducting meetings with MPPP on the development proposal for the project, which will see the building of 1,320 units of between 700sq ft and 1,000sq ft each in four blocks of 20 to 25 storeys.

"We propose to use the maximum density of 120 units per acre and increase the number of low-medium cost units by 50 percent," Ng told reporters at the proposed site yesterday.

"This is a state initiative to provide more quality, affordable housing on the island. The master plan includes a multi-storey car park, roof garden, sports facilities and places of worship," he added.

BN claims CM sold off land

Affordable housing on the island took the limelight recently when state BN Youth chief Oh Tong Keong criticised Chief Minister Lim Guan Eng for "taking land belonging to the poor and selling it to business".

Oh was referring to a piece of land for the second phase of a public housing project on a 0.45-hectare plot in Taman Manggis, off Jalan Burmah.

The first phase of the project, involving 320 housing units on a 1.86-hectare plot, was completed in 2005.

However, state housing committee chairperson Wong Hon Wai has refuted Oh's claim, saying the Housing and Local Government Ministry did not give approval for phase two of the project.

Eventually, the land was leased to a private developer to build a medical centre, while a 2.8ha parcel of land on Jalan SP Chelliah was set aside for the LMC project.

Ng, who is also political secretary to Chief Minister Lim Guan Eng, said there were three blocks of MPPP quarters at the site, which would be relocated.

There are also eight small Hindu temples and shrines which would also be relocated within the vicinity, he said, adding that the state was currently in talks with those involved.

"The BN continues to lie about public housing when actually we are in the stage of planning with the PDC, which is the implementing agency that will deliver public housing," Ng said.

Pilot project

Meanwhile, the MPPP councillor heading the building and planning panel, Felix Ooi, said the project would determine the future planning and building of low-medium cost houses.

Ooi said public housing was not like "bargaining in a wet market", where quantity was not as important as proper planning and quality housing.

"We have seen previous planning and building of LMC units by the BN - which are of poor quality," he said.

NONE "Public housing must address the need to improve the quality of housing and how to sustain the environment. It should not be about low-cost or pricing only."

Ooi said that since 2008 - when Pakatan took over Penang - MPPP has identified land for low-medium cost housing and consultants have been engaged to look into the matter.

He said seven acres of land in Padang Tembak and three acres off Jalan Perak have also been earmarked for affordable housing.

MPPP was willing to work together with the state government by providing the necessary land for the projects, Ooi added.

The minimum price of a low-cost housing unit in Penang is RM72,000, while a medium-cost unit can cost up to RM220,000.