Condominium rights in Malaysia

Abstract

The Strata title was first introduced into Peninsular Malaysia in National Land Code 1965 (Act 56) (NLC 1965) as subsidiary titles. Strata Titles Act 1985 (Act 318) (STA 1985) has been established with the increasing of multi-storey development. Under STA 1985, developers are required to apply for strata titles. Strata Titles (Amendment) Act 2013 (Act A1450) (STAA 2013) and Strata Management Act 2013 (Act 757) (SMA 2013) were brought into force on 1 June 2015 in Peninsular Malaysia and Federal Territory of Labuan. Provisions in STA 1985 are amended and harmonized with the NLC 1965. STAA 2013 has also carved out all the provisions regarding management of subdivided building under STA 1985 and placed it purely under the governance of SMA 2013. The implementation of SMA 2013 is complemented by the Strata Management (Maintenance and Management) Regulations 2015 which duly came into force on 2 June 2015. Combined effect of the strata law is to ensure strata titles being passed to buyers upon delivery of vacant possession, encourage confidence on the distribution of share units and greater guide on developers.