Renewal of Land Lease for Sarawak

Q.
How is premium calculated on lease extension in Sarawak?

A.

Premium payable for lease extension in West Malaysia.

Renewal of Land Leases (RLL)

Rates of Premium for Renewal of Land Leases

  • Application for renewal of land leases can be made anytime before the expiry of leases.
  • Applications shall be made using Form RLL 1/2010 obtainable from Land and Survey Department.

The criteria for application:

  • Land is not required for Government development purposes
  • The utilization of the land does not conflict with the title conditions

Term of leases

  • The land lease shall be renewed for a term of 60 years
  • A 99-year term may be given to lands for commercial (shop house) and residential purposes subject to additional premium of 30% of the flat rates concerned
  • The term 99 years may also be given to lands for agricultural purposes without charging additional premium provided that the term of existing title is 99 years

The rates of premium for renewal of leases for Commercial (Other than shop house), Industrial, Office/Institutions and Recreational purposes are as shown in Table 1 while those conditioned for Commercial (shop house), Residential and Agricultural purposes are shown in Table 2.

In summary, the colourful table below is referred:

Ref:
http://sgservicesguide.sarawak.gov.my/modules/web/policy.php?polid=91
http://sgservicesguide.sarawak.gov.my/modules/web/policy_att.php?id=40

Note:

  • The Minister shall decide on special cases involving the low income group or those living below poverty line based on the merit of each case.
  • Value of present interest of land (balance of term) is not considered
  • Primary Towns - Kuching, Sibu, Miri and Bintulu
  • Secondary Towns - Sarikei, Sri Aman, Kapit, Limbang, Mukah, Betong and Samarahan
  • Rural Towns - e.g. Lundu, Asajaya, Niah
  • An additional premium of 30% shall be charged for applications to 99-year term. E.g. For a unit of terraced house, the premium payable = RM1,300 (RM1,000 + 30%)
Ref:
Official Website of Land & Survey Department Sarawak at http://www.landsurvey.sarawak.gov.my/modules/web/pages.php?mod=webpage&sub=page&id=230