Sarawak's Housing Minister Abang Johari Tun Openg today vowed to stop building inferior quality two-bedrooms low-cost houses commonly known among locals as 'rumah kuda' (stable).

Speaking to reporters in Kuching, he said the 'low cost' tag should be restudied to discard the social stigma associated with the term.

"Other countries that also provide affordable house are not calling them as such," he added.

Johari, who met with the Sarawak Housing Developers' Association (SHDA) recently, stressed that the state would open its property market if local developers failed to buck-up.

"If I don't do this, they will remain in their comfort zones and build low-quality houses which some people say are only fit as a stable," he said.

Meanwhile, the minister also revealed that the Housing Development Corporation (HDC) has completed its restructuring exercise, which involves the closure of two of its subsidiaries.

He said the reformed HDC has only one subsidiary and its staff are being relocated or absorbed into newly-created divisions.

Modern homes

Johari said a new division called 'community and neighbourhood development division' has been set up to monitor the social implications of housing estates while the 'landscape and retrofit division' would study the ways to spruce up new and old housing estates.

"We want affordable, modern and environmentally-friendly homes, while the old housing estates can be restored on a similar concept," he added.

Johari said a similar approach is used by developers for government affordable homes in Singapore, United Kingdom, New Zealand and Australia.

He said a seminar would be organised next February to collect inputs and feedback on housing and real estate developments.

To further assist the lower income group, Johari said a financial institution has virtually agreed to offer inter-generation loans, which are widely adopted by other countries.