A luxury car belonging to Johor Baru Umno vice-chief Yahya Jaafar went up in flames in what police believed was an arson incident.

Johor Baru Utara district police chief Mohd Taib Ahmad said the BMW 525i was parked in the compounds of their home in Bandar Baru Uda in Johor Baru, when the incident happened at about 11.45am.

However, the family managed to save their Chrysler and Audi Q5 which were parked nearby, Bernama reported him as saying.

Yahya, who is a Johor Baru councillor, was not at home when it happened.

"At the time of incident, four people (including Yahya's wife) were at home and they went out of the house when they realised there was smoke and a small explosion," Taib said.

The Fire Department and police forensic unit did not find any objects or traces of explosives at the scene of the incident.

The case is being investigated under Section 386 of the Penal Code for arson, he said.