THE redevelopment of Kampung Sungai Baru is expected to generate a new class of property millionaires, with developers forecasting that 327 original landowners will each possess assets worth at least RM1 million when the Residensi Kelarai project reaches completion later this decade.
KL City Gateway Sdn Bhd managing director Abdul Hadi said the large-scale redevelopment, carrying a minimum Gross Development Value (GDV) of RM2 billion, would not only reshape the physical landscape of the historic enclave but also significantly elevate the economic standing of its long-time residents.
“At Kampung Sungai Baru, my mission is to ensure that all 327 property owners here become millionaires when this project is completed.
“Based on the current market price of approximately RM850 per square foot, the replacement units that owners will receive are expected to have a market value of at least RM1 million per unit,” Sinar Harian quoted him saying during the Residensi Kelarai unit balloting ceremony.
Abdul Hadi said the projection was grounded in the company’s previous urban renewal experience in Kerinchi, where 475 property owners saw the value of their assets increase substantially following redevelopment.
The Residensi Kelarai project is designed as a high-end residential development featuring a range of modern lifestyle facilities, including a sauna, steam room and jacuzzi, aimed at providing residents with a contemporary urban living environment.
The project's strategic location is also expected to enhance connectivity and accessibility for future residents, with direct links to the Ampang-Kuala Lumpur Elevated Highway (AKLEH), pedestrian access to the Saloma Link bridge and nearby Light Rail Transit (LRT) stations.
In an effort to ease the transition for affected residents, the developer has pledged financial support throughout the construction phase, including monthly rental assistance ranging from RM1,100 to RM2,500 for homeowners relocating to temporary accommodation.
“We have also introduced a unique maintenance fee assistance scheme to help residents adapt to life in a modern residential development.
“For the first year, residents will enjoy a full exemption from maintenance charges. For the following nine years, they will only need to pay about 30 per cent, or approximately RM120 per month, while the remaining 70 per cent will be borne by the developer,” he said.
According to Abdul Hadi, the initiative is intended to ensure original residents can enjoy improved living standards without facing financial pressure from high maintenance costs typically associated with modern high-rise developments.
Providing an update on construction progress, he said physical groundworks are expected to begin as early as August or September after the relocation of a Tenaga Nasional Berhad substation and major water pipelines at the project site.
“The relocation of major utilities is expected to take between two and three months, and we are targeting full completion of the project by 2030,” he said.
Meanwhile, Kampung Sungai Baru Property Owners Welfare Association chairman Sanita Yunus described the balloting exercise as another historic milestone in the long-running effort to redevelop the area.
He said the event represented tangible progress for a project that residents had anticipated for years and reflected the commitment shown by all stakeholders involved.
“Today's event is not merely a process to determine unit allocation, but another important step demonstrating that the Kampung Sungai Baru Redevelopment Project continues to move forward.
“It reflects real progress resulting from the cooperation and commitment of all parties in realising a redevelopment project that property owners have awaited for a long time,” he said.
Sanita expressed hope that construction would proceed without delays, enabling former residents to return to Kampung Sungai Baru within the promised 48-month timeframe.
“This event proves that the project continues to move forward thanks to the strong support and patience of residents. We hope the developer can commence construction smoothly so that we can return to Kampung Sungai Baru within the promised period,” he said.
The developer also extended its appreciation to the Kampong Bharu Development Corporation (PKB), legal representatives for both the association and developer, community representatives and independent observers who participated in overseeing the balloting process to ensure transparency and accountability.
For many residents, the redevelopment marks the beginning of a new chapter for one of Kuala Lumpur’s last traditional Malay enclaves, with supporters arguing that the project will unlock substantial long-term economic benefits while modernising a strategically located area in the heart of the capital. - June 15, 2026
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