EBOOK THE CONCEPT OF SUBDIVISION OF BUILDING FOR THE ISSUANCE OF STRATA TITLE

2022

THE CONCEPT OF SUBDIVISION
OF BUILDING FOR

THE ISSUANCE OF

STRATA TITLE

NURNABIHAH HUSNA BINTI MOHD WAZIR NOORIZAWATY BINTI YUSUFF FARIZAN BINTI MUHAMMAD AMIN YEAP

NURUL FARHANIM BINTI JUMARI

DISCLAIMER AND COPYRIGHT

© This eBook is an original work

Managing Editor

Noorizawaty Binti Yusuff

Editor
Nurnabihah Husna Binti Mohd Wazir

Writers
Nurnabihah Husna Binti Mohd Wazir
Nurul Farhanim Binti Jumari
Farizan Binti Muhammad Amin Yeap

Ilustrator
Farizan Binti Muhammad Amin Yeap
Nurul Farhanim Binti Jumari

Application Publishers and Developers
Geomatics Diploma Student of
Ungku Omar Polytechnic

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Published by:
Geomatics Diploma Student
Ungku Omar Polytechnic (PUO)
Jalan Raja Musa Mahadi
31400 Ipoh, Perak, Malaysia

i

MEET THE TEAM

NURNABIHAH HUSNA BINTI MOHD WAZIR

LEADER OF GROUP

is a final year geomatics diploma student,
Ungku Omar Polytechnic, Ipoh

NURUL FARHANIM BINTI JUMARI

GROUP MEMBER

is a final year geomatics diploma student,
Ungku Omar Polytechnic, Ipoh

FARIZAN BINTI MUHAMMAD AMIN YEAP

GROUP MEMBER

is a final year geomatics diploma student,
Ungku Omar Polytechnic, Ipoh

SR. NOORIZAWATY BINTI YUSUFF

PROJECT SUPERVISOR

is a lecturer in the Department of Civil Engineering,
Ungku Omar Polytechnic. Teaching in the subjects
of Cadastral Surveying and Land Management &
Development.

ii

AKNOWLEDGEMENT

‫بسم هللا الرحمن الرحيم‬
‫الحمد هلل رب العالمين‬
‫اللهم صل وسلم وبارك على سيدنا محمد وعلى آله وصحبه أجمعين‬

Praise and appreciation to Allah, the Almighty, for showering blessings
during the endeavor to successfully complete the eBook.

Infinite appreciation especially to Nurul Farhanim Binti Jumari and Farizan Binti
Muhammad Amin Yeap for their cooperation and willingness to exchange ideas

to complete the final year project eBook of this geomatics diploma.



We are deeply indebted and grateful to our supervisor Ms. Noorizawaty Binti
Yusuff for her exceptional editorial support and guidance. Not forgetting also to
friends and coordinators of this project, Mr. Fauzul Azhan Bin Abdul Aziz who
gave a lot of support and cooperation throughout the preparation of this eBook.



Finally, thank you to anyone who was involved directly or indirectly in preparing

this ebook, we would like to express our gratitude and appreciation to those
involved.

Thank you, Wassalam.

iii

TABLE OF CONTENTS

1 Introduction to Strata 1-2
2 3-4
3 The History of Strata Titles Legislation 5
4 Evolution of Strata Title Act 1985 in Malaysia 6
Objective of the Act 1985 Strata Title 7-8
Define the Subdivision of Building and Strata Title 9-12
Term-term in Strata Title 13-20
The Concept of Subdivision of Strata Building 21
Subsidiary Management Corporation
Question 22
23-24
APPLICATION FOR SUBDIVISION OF A BUILDING 25-27
28
Rules for Measuring Subdivisions of Building 29
Types of Application Subdivision of Building 30-31
Conditions for Approval Subdivision of Building 32
Application for the Approval for the Subdivision
Application process for Subdivision of Building
Document needed for Subdivision of Building Application
Question

Application for Issuance of Strata Title

Procedure of application for Strata Title Prior to Vacant Possession 33-41
Application and Approval Conditions 42
Document Required for Strata Title Application 43
The Parties Involved in the Strata title Application 44
Termination of Strata Title 44
Related forms 45-54
Question 55

Fieldwork for Subdivision of Building 56-59
60-65
Description of the Study Building
Certificate of Strata Plan

1 THE HISTORY OF STRATA TITLES LEGISLATION

Strata Title was 1st introduced in Malaysia by way of certain sections
of the National Land Code 1965 which dealt with “subsidiary” title. (1st

January 1966) – Sec 151

NLC provides for the establishment of the Management Corporation to
manage any part of the land or building which is not registered in
subsidiary title – Sec 357

This was a response to the rapid growth of urbanization that was taking place at
that time and the need to resettle urban squatters, as well as a demand from the

public for the right to own their own flats and apartments

Before 1985, NLC had provision for the subdivision of buildings and the
issuance of ‘subsidiary title’

Malaysia’s Strata Titles Act 1985 is modeled after New South Wales
Conveyancing (Strata titles) Act 1961 and Singapore Land Titles (Strata)

Act (Cap.277) 1970



why is there a need for a separate law?

Scattered There is no There is no No provision is
provisions in the provision for an provision for allowed for
national land code accessory parcel development in
fractionation or
(NLC) phases consolidation, etc

1

STRATA TITLE ACT (STA) 1985 (Act 318)

A new act was enacted to meet current needs by combining the provisions on Subdivision of Buildings in the
National Land Code (NLC) & adding some new provisions in one act = STA (effective on June 1, 1985)

Prepare the subdivision of Strata Title Act
buildings and land for shared

properties.

Request for : Under the jurisdiction of the

Division, Department of the Director General

Registration and issuance of title
Provide a system for the
of Lands and Mines.
management of the strata scheme

after the title is issued.
System to deal with matters

related to strata (Strata Title

Board)

The STA contains almost all the Created to address weaknesses and
provisions of the NLC related to the deficiencies of provisions in the NLC

subdivision of buildings, new elements and
general improvements have been made to
related to subdivision of buildings

the process and procedure of strata title
(other references related to

application and multi-storey building

management. The STA contains almost all
subdivision and management of

the provisions of the NLC related to the
multi-storey buildings)
subdivision of buildings, new elements and

general improvements have been made to


the process and procedure of
strata title application and multi-storey

building management.

STA was amended 4 times Give space to a new housing development

The latest amendment (Subdivision concept known as the Gated Community

of Land into parcels of land, accessory
Scheme (GACOS) which includes properties

parcels, and common property) has been
such as bungalows, terraced houses and

even semi-detached houses built on one

introduced.
plot of land.

2

EVOLUTION OF STRATA TITLE ACT 1985 IN
MALAYSIA

The Malaysian concept of subdividing a building was imported from New South
Wales, Australia and was first introduced in Peninsular Malaysia on 1 January 1966 by

the National Land Code, 1965 (“NLC”)

[Act 56] 1966 [Act 318] 1985

1 January 1966 1 June 1985
[National Land Code 1965] Facilitate subdivision of
Subsidiary titles for units in a a building into parcels to
be held under separate
subdivided building
strata titles

[Act A951] 1996 [Act A753] 1990


2 August 1996 23 February 1990
Permit application for strata Introduce provisional strata
titles with a qualified title for title for a provisional block

lot of land, and other in a phase development
amendments and other amendments

[Act A1107] 2001 [Act A1290] 2007

1 December 2001 12 April 2007
Introduce the Strata Titles
Introduce land parcels and
Board and other other amendments in line
amendments
with the enactment of

BCPMMA 2007

ACT A1450 - CONCEPT OF ISSUANCE OF STRATA TITLES WITH VACANT POSSESSION
SIMULTANEOUSLY

https://youtu.be/Nc6oP-2rhx8

[Act A1518] 2016 [Act A1450] 2015

1 January 2017 1 June 2015
Introducing land tax for Introduce LCP, Sub-MC and

parcel tax Share Units Certification
Formula (SiFUS)

3

EVOLUTION OF STRATA TITLE ACT 1985 IN
MALAYSIA

4

OBJECTIVE OF THE ACT 1985 STRATA TITLE

Building subdivision application

Separate ownership (ownership)



Management Corporation (Self

Regulate Management)

THE DIFFERENCE BETWEEN THE 1985 STRATA OWNERSHIP
AND THE 2013 STRATA MANAGEMENT ACT

Strata Title ACT 1985 Strata Management ACT 2013


An Act to facilitate the
subdivision of building or land An Act to provide for the
into parcels, the disposition of proper maintenance and
titles and the collection of rent management of buildings and
common property, and for
and for the purposes
connected therewith. related matters.

5

DEFINE THE SUBDIVISION OF BUILDING &
STRATA TITLE

STRATA STRATA title

Property development Form of ownership
of building devised for multi-level
apartment blocks and
Divided into parcels, horizontal subdivisions
accessory parcels and
with shared areas
common property

Subdivided Building means a multi-storey building
consisting of 2 or more premises that is used or intended to
be used as a complete and separate unit for the purpose of

habitation or business or for any other purpose.

6

TERM-TERMS IN STRATA TITLE

Building In relation to the lot to be advanced in stage, including any building that is half finished or that

is to be completed established in that lot as shown or state in any proposed strata plan
prescribed for approval.
Special building



Any building occupied before June 1996 or any building occupied from June 1996 until 11
Temporary block April 2007, which is classified as such by the State Authority.


Blocks that are still under construction for the strata scheme in stages or phased and
Land parcel within the boundaries of one lot. For existing temporary blocks the buyer can apply for

subdivision of the building. In relation to a proposed strata plan, a block in relation to a
building proposed for, or being, established on a building or land, for which it is a strata

ownership while a separate one has been applied.



A unit contained within a subdivided land on which there is a finished building that is no
more of four floors held under a strata title.



Parcel A building which (except in the case of an accessory plot) is subdivided, means one of the

individual units contained therein held under separate strata title, and in relation to a
subdivided plot of land, means one of the units- individual units of parcel of land.
Accessory parcel

Additional parcel either inside or outside the building for use along with the main parcel
For example: stores, parking lots and others, besides common property.In ,any parcel
Common Property shown in a strata plan as an accessory parcel used or proposed to be used together with

Share unit a parcel.




Defined as everything on the land owned except parcel and accessory parcel such as
stairs, roofs, gardens and more . Parts not contained in any parcel (including

accessories parcel) whether immovable or movable property contained within a strata
scheme that is shared in common use by all owners. Lots that are not contained in any

parcel including any accessory parcel or any temporary blocks as shown in the
approved strata plan



Distribution of share units allocated by the developer and approved by the Office Land and
Minerals (PTG) to parcel owners based on parcel value and the use of squares.The
designated share units for the plot are as shown in the table of share units.Share Unit

Eligibility where each parcel is accumulated share units and shown in the strata plan.The
total number of share units is different depending on various factors such as parcel size,

location, parcel sales price, parcel market price and others.Payment of contribution is
based on the accumulation of share units means the larger the share unit, the higher the

contribution paid.



7

TERM-TERMS IN STRATA TITLE

The owner Refers to the owner of the parcel, that is the person or body that at that time leveled

as the owner of a parcel, building and also to the owner of a temporary block,
example a person or body that at that time registered as the owner of a temporary
Management block.

corporation In relation to any building or subdivided land shown in the strata plan which approved

the creation of the Management Corporation established below section 39 aims to
manage those parts of the building not included in any plot known as property
together.




General Meeting Meeting of parcel owners and interested parties (such as register strata) which is

notified through a meeting call notice. Corporation Management is required to hold a
meeting once a year.
Council members




Chosen to represent the parcel owner. The election is made at the general meeting
yearly. Powers for council members are limited as outlined by the management
corporation.




Fund management contributions are paid into this fund to cover daily expenses of the management

corporation such as electricity, insurance,maintenance and repair of common property
and others.




8

THE CONCEPT OF SUBDIVISION OF
STRATA BUILDING

Subdivision means lot into two or more lots,
the division of plats, sites, or other
tract divisions of land for
the purpose, whether
parcel of immediate or future,
land of sale or of building

development.

subdivision is the lot of land This is done via a
creation of separately building licensed land surveyor who
disposable units of
draw up a plan
of subdivision for
council approval and
lodgement with title

office.

9

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.

Separate ownership of the so-

called strata title for every

parcel of a building that has


two or more floors of alienated

land and is held as a lot under

permanent title.

10

The separate law to overcome the
weaknesses/deficiencies in the provisions of

the NLC

Requirements from accessory compartments to

main compartments such as parking, stores and


other uses.

The need to enable development on
one piece of land in stages.

The need to subdivide low-cost buildings.

The requirement to allow one parcel to be divided

into several parcels or to allow two or more

adjacent parcels to be joined into one parcel.

The need to control developers so as not to
oppress plot owners.

Overcome the delay in the issuance of subsidiary
title due to too many steps in the processing of PBB


applications in NLC.

11

NEW PROVISIONS INTRODUCED IN THE
STRATA TITLE ACT 1985

Provisions for holding

accessory compartments

Special provision for low-cost

multi-storey buildings

Allowing development in one lot in stages by
introducing the concept of temporary blocks

Provisions for smoothing the

process of building subdivision

Provisions on the rights and

responsibilities of parcel owners

12

SUBSIDIARY MANAGEMENT CORPORATION



What is the JMB and MC and Subsidiary
Management Corporation (Sub-MC)

Subsidiary Management Corporation (Sub-MC)

In some strata buildings , there are designated common areas and
facilities to be enjoyed by some , but not all strata owners.
Known as limited common property.
The management body is called the Subsidiary Management Corporation
(Sub - MC) and it will keep a separate account of income and expenses.
Only strata unit owners who have access to the limited common property
would have to pay maintenance charges and contribute to the sinking fund
of the Sub - MC expenses related to its limited common property.
The amount of charges is in proportion to the share units assigned to each
strata parcel.

13

SUBSIDIARY MANAGEMENT CORPORATION

ROLE OF MANAGEMENT
CORPORATION (MC)

MC is a body corporate and it can sue or be sued in its name.
MC does not need to be registered as a company organization

registration.

The MC is required to convene the First Annual General Meeting
(AGM) within a period of one after the expiry of the initial period or

when 1/3 of the total share units have been held by the parcel
buyers

MC has a common seal and has hereditary rights.

The MC must appoint a council to act for his rights. Members
should be between 3-14 people.

If there is a termination of subdivision of the building
due to the building being destroyed or demolished,

the MC will be the trustee for the former parcel
owners and if it is decided by unanimous resolution
to sell the land then the MC will do so and distribute

the proceeds of the sale of the land to the former
parcel owners according to the quantum of the
respective share units.

14

SUBSIDIARY MANAGEMENT CORPORATION

POWER OF MANAGEMENT
CORPORATION (MC)

Repay loans and interest
Obtain donations from parcel owners

Borrow money as needed to carry out its duties

Managing building reversal works in strata scheme lots

Take any necessary action against the owners and occupants of
the parcel in carrying out their responsibilities.

Purchase, rent or acquire movable property for use in connection
with the Common property.

15

SUBSIDIARY MANAGEMENT CORPORATION

RESPONSIBILITY MANAGEMENT
CORPORATION (MC)

❑ Manage and maintain Joint property.
❑ Insuring buildings from fire and others.
❑ Pay insurance premiums, land tax and other rates.
❑ Comply with the notice/instruction of the Authority to
do something on the Common property.
❑ Take Action against parcel owners if the owners fail
to comply with the instructions within a certain period.
❑ Prepare and maintain a strata register for the
building.
❑ Pay annual land tax.
❑ Manage building maintenance funds.
❑ Maintain a special account of the strata scheme

PROBLEMS FACED BY THE MANAGEMENT CORPORATION (MC)

❑ Collect contributions and arrears from parcel owners.



❑ The collection is not enough to pay for management expenses.



❑ Having trouble appointing councilors.



❑ Problems in holding annual meetings due to insufficient quorum set.



❑ Council members are not actual parcel owners.



❑ Contributions are collected pro rata and not according to the share unit rate.



❑ The strata scheme is broad, so MC members are too numerous and difficult to handle.



16

SUBSIDIARY MANAGEMENT CORPORATION

THE DUTIES AND RESPONSIBILITIES OF JMB,MC, SUB-MC

The duties and responsibilities of the JMB
and MC are to maintain and manage the

building and common property and
facilities of the strata property within the

power outlined under SMA

To determine and impose the To maintain the Joint
necessary charges for the property properly and
keep the Joint property in
repair and maintenance of the
Joint property properly. good and usable
condition.





To insure a building as much
To use the insurance money
received to repair damage to a as the fiber value of the
building or rebuild for a building. building against fire and any


other risk.



17

SUBSIDIARY MANAGEMENT CORPORATION

Responsibilities of the management body

The developer and the MC are the two management bodies that manage
and maintain a strata scheme.
Developer management will start after VP submission
to the buyer of the plot.
A management corporation or MC exists automatically after the strata register
book is opened. All strata ownership will be registered in the name of the
developer as the original owner.
The developer is obliged to call the first AGM no later than one month after
one-fourth (1/4) of the share units are transferred.
MC management begins after the MC AGM is conducted and members
of the management committee are appointed.
The management is obliged to carry out the following obligations

• Opening maintenance accounts and sinking fund accounts
• Determine the charge rate and sinking fund
• Take insurance
• Prepare and maintain a register of plot owners
• Comply with notices & instructions of PBT / public authorities
• Audit & maintain accounts
• Enforce bylaws

18

SUBSIDIARY MANAGEMENT CORPORATION

Application process for issuance of SUB-MC certificate

1 • MC obtain agreement to appoint LLS to prepare Special
Plan with fee approved.
Applicant • Give 30 days notice to all parcel owners.
• LCP to be set through comprehensive resolution by MC.
2 • To file the comprehensive resolution to COB within 28
days.
Applicant
Application to PTG with Form 9
3 • Fee
• Copy of comprehensive resolution
PTG • Special Plan
• Current quit rent
• Certification from MC

• PTG refer the application to Director of Survey
• Comment from Director of Survey
• Fee checking

4 • Application and documents in order
• Related fee
PTG • Issue the certification of Sub-MC

MC is required to make application in accordance with section 17A STA 1985
using Form 9 after obtaining a comprehensive resolution for the approval of

the Director of Lands and Mines Office (PTG) for the issuance of sub-MC
certificates requested.

Form 9

19

SUBSIDIARY MANAGEMENT CORPORATION

Advantages and Disadvantages of Establish Subsidiary
Management Corporation Sub-MC

Advantages Disadvantages

Clearly define the boundaries and rights More administrative works as there are
so that subsidiary management more accounts and auditing, committee
meetings and gener
al meetings needed
corporation (Sub-MC
) is insulated from
the liabilities from other Sub-MC for management corporation

Sub-MC mitigates the impact of Increases operational cots cause the
inequitable share units where certain increment of charges and sinking fund

owners do not have to pay the contributions
maintenance fees that did not enjoyable


by them. This is be
cause some high More volunteers needed as
cots facilities shared by two or more management com
mittee for the
component but not all component subsidiary management corporation

under a strata scheme Increased potential for conflict as more
management b
ody involved.
Sub-MC has independent management
and maintenance their own limited


common property un
der their subsidiary

management committee and own
general meetings


Sub-MC could operate its own
maintenance accou
nt and sinking fund

account

Sub-MC entitled to generate their
income arising fr
om own limited

common property

Sub-MC could make and enforce their
own addition
al by-laws

Sub-MC can institute own legal
proceedings in
court or Strata

Management Tribunal

20

TTHHEEOORRYY QQUUEESSTTIIOONNSS

WHAT ARE YOU UNDERSTAND ABOUT PARCEL?
WHAT ARE SEPARATE LAW WAS MADE TO OVERCOME THE
WEAKNESS/ DEFINICIENIES IN THE PROVISIONS OF THE NLC?
WHAT IS STRATA TITLE ACT 1985 & STRATA MANAGEMENT ACT
2013?
WHAT THE NEW PROVISIONS INTRODUCED IN STRATA TITLE
ACT 1985?
EXPLAIN WHAT YOPU UNDERSTAND ABOUT MASTER TITLE?
WHAT IN STRATA TITLE ACT 1985 (AHS 85) AMENDMENT IN 1996?

21

2 Building Or Land Subdivision Measurement Rules,
Parcel Fractions and Unit Squares

Before submitting a building or land subdivision application, it is
the responsibility of the Landlord/Developer through the

appointed Licensed Land Surveyor (LLS) to ensure that there is
no contradiction between the Proposed Strata Plan and the
Parcel Schedule that has been filed by the Building
Commissioner before the sale of any parcel

Matters related to the description of the land must also be settled
first, including obtaining the status of permanent ownership and
appropriate land use conditions before submitting an application

for a Strata Plan Proposal Certificate to JUPEM.

Responsibility of the Landlord/Developer through the appointed Licensed
Land Surveyor to ensure that the application for a Strata Plan Proposed
Certificate is applied for within 3 months from the date of completion of the

main structural stage [section 8, Strata Title Act 1985]

Based on Section 8A, Strata Title Act 1985, the Certificate of
Proposed Strata Plan (CPSP) is an important document before
submit a building or land subdivision application to the Land and
Mines Office/District Land Office for the issue of strata ownership.

For applications involving any strata scheme which was sold before
the Strata Title Act came into force (Amendment) 2013, Proposed
Strata Plan should be made comparison with the building plan that
has been approved by Local Authority (PBT) and contained plans in

the sale and purchase agreement (if necessary) to avoid the
occurrence of any discrepancy between the developer and plot

owner.

22

TYPE OF APPLICATION FOR SUBDIVISION

Mandatory Application

It is compulsory for proprietor to apply for sub-division.
Proprietor of alienated land where he has sold or
agreed to sell any parcel shall apply for sub-division
within six months from:

1.Date of 23rd of February 1990 where amendment of
AHS Act A753 has been enforced.

2. The date of completion is when CFO/CCC has been
issued

3. The date of sale of the first

Optional Application

Proprietor of alienated land may apply for
sub-division.

Proprietor of alienated land where
there is any building which capable of
being sub-divided, may apply for the
sub-division to the Director

COF=Certificate of Fitness of Occupation
CCC=Certificate of Completion & Compliance

23

BEFORE VS AFTER SECTION 8 (2)

Building completed BEFORE
Building completed AFTER
23 rd of February 1990 23 rd of February 1990

The application must The application must be

be made within six made within six months

from the date of building

months from the date
completion if the sale or

23rd of February 1990 the sale agreement of

if the sale or the sale
the first parcel is made

agreement of the first
before the the date of

parcel is made before
23rd of February 1990. building completion.

The application must be The application must be
made within six months made within six months
from the date of the sale from the date of the sale
or the sale agreement of or the sale agreement of
the first parcel if the sale the first parcel if the sale
is made after the date of
is made after 23rd of
February 1990. building completion.

DATE OF
DATE
DATE OF
DATE OF
DATE
DATE OF

COMPLETION OF
APPLICATION COMPLETION OF SALE APPLICATION

SALE

12/08/1988 21/01/1989 23/08/1990 02/04/2004 02/01/2003 02/10/2004

(6months from
(6months

23/08/1990) from 2/4/2004)

01/12/1989 06/08/1990 06/02/1991 18/05/2003 13/04/2004 13/10/2004

(6months from
(6months from

date of SNP) date of SNP)

24

CONDITIONS FOR APPROVAL SUBDIVISION OF
BUILDING

1. The Director shall not approve the subdivision of any building unless the
following conditions are satisfied:

(a) That it has been certified by a land surveyor—

(i) that the building or buildings are situated wholly within the boundaries of
the lot in question; or
(ii) that, discounting any eave, awning, and any balcony not forming part of
a proposed parcel, which project over a road reserve, the building or
buildings are so situated; and, in a case where the certificate is one under
subparagraph
(ii) that there subsists a permit or permits issued under
section 75A of the National Land Code in respect of
every such eave, awning and balcony;

and, in a case where the (b) that, in the case of any building for the erection of which
certificate is one under planning permission was required—
subparagraph (ii), that there
subsists a permit or permits it has been certified by an architect registered under the Architects Act 1967 [Act
issued under section 75A of the 117] or by a professional engineer registered under the Registration of Engineers
National Land Code in respect Act 1967 [Act 138] that the building was constructed in accordance with the plans
of every such eave, awning and and specifications by reference to which that permission was given, stating therein
the date on which such permission was given and the reference number thereof (if
balcony any); or

the case falls under subsection
10(6A) and the requirements of

that subsection have been
satisfied;

(c) that the subdivision would not
contravene any restriction in interest to
which the land comprised in that lot is for

the time being subject;

25

CONDITIONS FOR APPROVAL SUBDIVISION OF
BUILDING

(d) that the subdivision would not (e) that no item of land revenue
be contrary to the provisions of is outstanding in respect of
any written law for the time being the land

in force, and that any
requirements imposed with
respect thereto by or under any
such written law have been

complied with

(f) that consent in writing to the making of the application has been obtained
from every person who at the time when approval was applied for, was entitled

to the benefit of—

a lease oinfctlhuedewdhwoliethoinr,aonnyepoafrtththeepraerocfe, losthtoerbtehacnreaatpeadrtucpoornressupbodnivdiisnigonprecisely
with, or
a charge of such a lease or
a lien over any such lease

(g) that the proposed share units (h) that each of the proposed parcels has—
assigned to the parcels by


the proprietor of the lot in his adequate means of access not passing through
application in Form 1 are
equitable another parcel; and
adequate means of internal communication not

passing through the common property;

26

CONDITIONS FOR APPROVAL SUBDIVISION OF
BUILDING

(i) that, where the (j) that the land on (k) that, where the land

land on which the which the building or is held under qualified ((l) that the building
building or buildings buildings stand is not
stand is held for a subject to any charge title as specified in to be subdivided
term of years, there subsection 7(2), the has been certified
or lien; final title to the land
still remains a has been registered; by the local
period of not less authority to be fit
than twenty-one and for occupation or

years to run; use.

(2) In the case of an application involving a provisional block or blocks by virtue of
subsection 10A(1), the Director shall not approve the subdivision of any building to which

the application relates unless the following additional conditions are also satisfied:

(a) that it has been certified (b) that the quantum of
by a land surveyor that the provisional share units
position of each provisional
block as delineated on the assigned to each
provisional block by the
Strata Titles 19 location proprietor of the lot in his
plan is wholly within the application in Form 1 is
boundaries of the lot in
equitable; and
question;

(c) that proprietor has given the date by when he undertakes that the construction of
the building or each building to which the provisional block or blocks relate will be
completed, has paid to the Director in respect of each provisional block a deposit of
such reasonable amount as the Director may require, and has furnished a written
statement to the effect that he agrees that the amount be forfeited to the

Government in the event that, by that date or by such later date as the Director may
allow, the construction of the building to which the provisional block relates is not
completed or, if completed, the building has not been certified by a public or local
authority to be fit for occupation or use.

27

APPLICATION FOR THE APPROVAL FOR THE
SUBDIVISION

Any application for the approval of the Director for the subdivision of any building shall be
made in writing in Form 1 to the Land Administrator and shall be accompanied by:

1. such fee as may be prescribed Throughout the subdivision procedure,
there are a variety of charges needed. The
*except in a case falling under subsection (6A), the building plans approved by
the planning authority, to be submitted in triplicate fees consist of, but are not restricted to:

2. a proposed strata plan comprising a location plan, and a storey a. Fees for strata title application
plan in respect of each storey of each building, to be submitted in b. Fees for plans
triplicate containing such details as are specified in subsections (2) c. First-year quit rent payable
and (3) respectively and certified by a land surveyor as follows: d. Fees for parcel schedule
preparation
(i) that he has made a comparison of the plans to the original plans of the building and any e. Fees for share unit rights
approved amendments thereto prepared by the architect or professional engineer responsible for f. Fees for building certification
its construction, or, in a case falling under subsection (6A), to the plans of the building and any
approved amendments thereto mentioned in paragraph (a) of that subsection

(ii) in the case of a storey plan, that the boundaries of the parcels shown thereon follow features of permanent construction appearing in the building

3. the certificates of a land surveyor, registered architect or
registered professional engineer, referred to in paragraph 9(i)(a),
and subparagraph 9(1)(b)(i), and, where applicable, the certificate of
a land surveyor referred to in paragraph 9(2)(a).

a permit or permits referred to in paragraph 9(1)(a), in a case where the certificate of a land surveyor is
one under subparagraph (ii) of that paragraph
in a case where the land is held under qualified title as specified in subsection 7(2), the certified plan of the
land as approved by the Director of Survey, to be submitted in triplicate

(i) a charge of the land the written consents to the making of the
(ii) a lease of the whole or any application of every person who, at the time of the
part thereof, other than a part application, is entitled to the benefit of:
corresponding precisely with,
or included within, one of the subject to subsection (7), the issue document of
parcels to be created upon title of the lot
subdivision
(iii) a charge of such a lease
(iv) a lien over the land or any
such lease

Every location plan shall— (a) specify the number of the lot, the title number of
the land comprised therein and the area there of
(b) delineate the boundaries and boundary marks of
the lot and the position of all buildings thereon,
showing which of these buildings are to be
subdivided
(c) include a vertical section of each such building
showing—
(i) the floor and ceiling of each storey
(ii) the height of each storey: Strata Titles 21

(d) (Deleted by Act A753)
(e) contain such other details as may be prescribed

28

APPLICATION PROCESS FOR SUB-DIVISION OF
BUILDING

An application for the approval of the
Director for the subdivision of the building
or land shall be made in Form 1 to Land

Administrator

Accompanied by: No application under -The land is held under
Such fees as may be subsection shall be made final title.

prescribed. unless -land use does not conflict
Such fees as so notified by with the conditions and
Upon receipt of an application under categories of land
the director of survey subsection
A certificate of the proposed - The land is not subject to
(1) The Land Administrator shall endorse, a any charge.
strata plan. note of making thereof on the register

The classification certificate document of title
of a low-cost building issued,

if any.
The proposed name of the
management corporation,

and the address for the
service of documents there
on , required to be supplied
pursuant to subsection 15(3
The issue document of title

of the lot.



The Land Administrator shall thereupon if he is
satisfied that the application and the other

documents presented there with are in order,
transmit them to the Director together with his

recommendations for approval or rejection

*NOTES
Process Period



*Complete the application and comply with all legal requirements [approximately 261 days (8 months 3 weeks)]

*The strata title is issued within a period not exceeding 12 months from the date of receipt of the application.

29

DOCUMENT NEEDED FOR SUBDIVISION OF
BUILDING APPLICATION



Before submitting a building subdivision application, it is the responsibility
of PUPN or JTB to ensure that there is no contradiction between the strata
plan provided and the plan contained in the sale and purchase agreement

document between the developer or vendor and the buyer or plot owner

When submitting a strata a) Form 1 or 1A (AHS 1985) along with a list of
application to PTD/PTG, parcels or parcels of land and parcels of accessories
b) The strata plan includes the reference plan
JTB is required to c) Approved building plan
simultaneously submit a d) Certified architect or registered professional
copy of the application to engineer
PUPN. This is to enable e) Permanent ownership or for temporary ownership
State JUPEM to carry out an is also accompanied by Acknowledgment Plan (PA)
initial review first based on or no. P.A
the documents copy without f) Airspace permit or airspace permit application letter
having to wait for the original (if relevant)
application from PTD/PTG. g) Form LJT 12
h) Certificate of Declaration of LJT as proof of
The required copy acceptance of payment of surveyor's wages
documents are: i) External work book or digitized external work data
according to JUPEM ASCII format
FORM 1 j) Number of share units for parcels or parcels of land
and parcels of accessories
k) Copy of sale and purchase agreement letter (if
necessary

30

DOCUMENT NEEDED FOR SUBDIVISION OF
BUILDING APPLICATION



Such fees as

may be prescribed

Such fees as so
notified by the
director of survey

A certificate of
the proposed strata

plan

The classification
certificate of a low-cost

building issued, if any

The proposed name of the

management corporation, and the

address for the service of documents

there on, required to be supplied


pursuant to subsection 15(3).

The issue document
of title of the lot

31

TTHHEEOORRYY QQUUEESSTTIIOONNSS

Subdivision applications are divided into 2 types, which are
mandatory applications and optional applications. Explain
about mandatory application.
In section 8 (2) for buildings completed after 23 February 1990,
when does the application need to be made if the sale or
agreement to sell the first parcel is made before the building's
completion date?
State the documents required for the building subdivision
application
As for the conditions for approving the subdivision of a building,
the director cannot approve the subdivision of any building
unless there are certain conditions. State the conditions
List the application for subdivision approval

32

3 PROCEDURE FOR STRATA TITLE APPLICATION

33

PROCEDURE FOR STRATA TITLE APPLICATION

1. Planning Permission Application at OSC

The developer submits KM/DO application to OSC

2. Conditional approval from (KM)KM/DO

Mandatory to apply for SiFUS and file the Plot Schedule to COB before the sale or CPSP application

3. Building Plan approval application

4. Building Plan Approval



5. SiFUS application to PTG

Formula Unit Share Certificate (SiFUS) - a certificate by the State PTG as a pre-condition for strata title
application.
Landlords are required to apply for SiFUS from PTG only after / the developer's Building Plan has been
approved but before selling any plot or before applying for CPSP to JUPEM, whichever comes first. §
According to section 6 and 9 of the AHS, all conditions related to land and buildings must be completed first
before the strata title application is made.

There are three main problems that cause failure application strata ownership which is:

a) Land Problems
Land problems that do not comply with AHS provisions such as ownership land that is still in
temporary ownership status and development that contradicting the real conditions of the land
is one of the main causes failure of strata title application.
b) Building
Development that is not within the boundaries of the land (lot) causes buildings built outside the
lot boundary. In addition to building construction which does not follow the building plan
approved by the Local Authority (“PBT”) is also a contributing factor to the failure strata title
application.
c) Owner/Developer problem
Problems that usually stem from the owner/developer are such as the company being wound
up, financial and management problems, disappearing or dying. In a situation like this, plot
buyers have to bear the cost of obtaining strata ownership, including survey fees and
application fees

34

PROCEDURE FOR STRATA TITLE APPLICATION

Examples of SiFUS requirements in DO/KM:

i. “….Semua pemajuan yang akan dipecah bahagi untuk pengeluaran hakmilik strata
bagi tujuan jualan, wajib memohon Sijil Formula Unit Syer (SiFUS) kepada PTG Negeri
dan memfailkan Jadual Petak kepada Pesuruhjaya Bangunan sebelum penjualan mana-
mana petak ….”; atau

ii. “….Semua pemajuan yang akan dipecah bahagi untuk pengeluaran hakmilik strata
tanpa tujuan jualan, wajib memohon Sijil Formula Unit Syer (SiFUS) kepada PTG Negeri
dan memfailkan Jadual Petak kepada Pesuruhjaya Bangunan sebelum permohonan Sijil
Cadangan Pelan Strata (CPSP) kepada Pengarah Ukur ….”; atau

iii. “….Semua pemajuan yang tidak dipecah bahagi untuk pengeluaran hakmilik strata
tidak wajib memohon Sijil Formula Unit Syer (SiFUS) kepada PTG Negeri dan
memfailkan Jadual Petak kepada Pesuruhjaya Bangunan ….”.

Document for SiFUS application

The documents that need to be submitted during the SiFUS
application are :

a) A copy of the DO/KM that has been approved
b) A copy of the approved Building Plan
c) Letter of appointment of Licensed Land Surveyor (“JTB”)
d) Receipt of strata surveyor payment which has been
deposited at the Board Land surveyor
e) Official land title search
f) Formula for Share Units
g) Document for Share Unit Calculation (softcopy Excel
Spreadsheet)
h) Square Schedule certified by JTB and Architect/Engineer
(if related)
i) Premium payment receipt (if applicable)
j) Land Tax Receipt for the current year
k) Application form for classification as a low-cost building (if
related)
l) Other documents required by PTG (if necessary)

25

PROCEDURE FOR STRATA TITLE APPLICATION

Conditions in the approval of SiFUS

PTG can only issue SiFUS after the applicant submits required
documents and satisfied that all conditions which is set including the

determination of share units are met.
The following are the SiFUS approval conditions:

Conditions related to land have been resolved.
A Licensed Land Surveyor has been appointed.
Fees for strata surveyors have been deposited to the Board of
Surveyors Land (“LJT”).
The formula and count of share units have been prepared.
Plot Schedule that has been certified by JTB and Architect/Engineer
(only must be attached for the circumstances after the effective date of
the plot Schedule under the Strata Management Act 2013 [Act 757])
Approved building plans.

Settlement of land conditions

Plot Schedule does not need to be included for strata schemes that have been sold before the
coming into force of the Strata Management Act 2013 [Act757].

According to section 6 and 9 of the AHS, all conditions relating to land and buildings must be
completed first before applying for strata title made. SiFUS can only be issued after the original
owner has completed the conditions related to the land.

Settlement of conditions related to land can be proven by:
1.An Official Search for strata titles is included to identify the status of strata titles.
2.Receipt of land premium payment (proof of payment for production purposes permanent title if

permanent title has not yet been issued).
3.Current land tax receipt (no land tax arrears).
4.Any related.

The Land Administrator shall ensure a fixed title issuance procedure was taken.

The Plot Schedule provided must contain;
1.Location plan, floor plan, reference plan as prescribed in AHS.
2.Indications for all parcels, common property and accessory parcels.
3.Accessory parcel in relation to the relevant parcel.
4.Certificate from JTB and Architect/Engineer that the building or the land shown in the plot

schedule may be subdivided.
5.Any other details as determined by COB.

36

PROCEDURE FOR STRATA TITLE APPLICATION

Example of form SiFUS

The information that needs to be displayed in SiFUS is as follows:

Owner's name City/Town/ Name of Formula share
Mukim the scheme unit

Name of the No. Ownership No. Building SiFUS Application
developer and No. Lots Plan Reference File Reference
Number.

37

PROCEDURE FOR STRATA TITLE APPLICATION

Formula for calculating share units

The share units allocated for each plot should be calculated as follows the following:
Share unit for the plot = (A x F1 x F2) + (B x F3)
Share unit for a plot of land = (A x 0.8) + (B x F3)

In the formula above

A is the area of the plot
B is the area of the accessory parcel
F1 is the weighting factor for the type of plot specified in the schedule A
F2 is the weighting factor for the total floor area specified in schedule B
F3 is the weighting factor for the accessory compartments specified in Schedule C
Area is expressed in square meters
If there is more than one accessory parcel, calculation of the formula for accessory parcel
shall apply to each accessory parcel and then shall be added
Share units must be stated as a whole number and nothing fractions or decimals should be
rounded to a whole number the closest (example:110.3=110, 137.8=138, 22.5=23).
For plots of land, a weighting factor of 0.80 is used considering the owner the parcel of land
bears its own payment of building insurance premium costs and costs maintenance of the
entire building in its parcel

SCHEDULE A

No. Type of parcel without central air conditioning to have central air conditioning to the
common property common property

    have general does not have have general does not have
elevator/escalator general elevator elevator/escalat general elevator /
escalator facilities
facilities / escalator or facilities
facilities

apartment / small office / home 1.00 0.85 1.30 1.15
1. office (soho)

office complex / institution 1.00 0.85 1.30 1.15
2. (college)

3. retail complex 2.00 1.70 3.20 2.90

hotel complex / medical center 2.20 1.90 2.80 2.45
4. complex

5. industrial complex 1.00 0.85 1.45 1.30

6. parking (whole floor) 0.75 0.65 0.85 0.75

home shop, shop, apartment,    1.00      0.85     1.30     1.15 
office shop (two or more floors) 0.85  0.85  1.15 1.15
7. (a) upper level

(b) lower level

8. Land parcel 0.80 0.80 0.80 0.80

38

PROCEDURE FOR STRATA TITLE APPLICATION

SCHEDULE B

NO PARCEL F2 BASIC

The total floor space does not include the vertical For the entire Floor

1 transportation core area (elevator, or escalator) or a 0.85 excluding the vertical

space with a floor area of   1000-3000 square meters transport core

2 The entire floor space including the vertical 0.80 For the entire Floor
transportation core area (elevator, or escalator) or a including the vertical
space with a floor area of   3000 square meters and
transport core
above

3 Not the entire floor area of   less than 1000 square 1 Nothing related
meters

SCHEDULE C

NO ACCESORY PARCEL F2 BASIC

1 Outside the building 0.25 To describe an open or closed area that
is not inhabited outside the building

2 In the building 0.50 To describe an open or closed area that
is not inhabited in a building

Example of share unit count

Example A
Parcel : M1/4/12
Accessory parcel : A12 and A25
type of parcel : Apartment
Features of the scheme: Lift and no air conditioning
Parcel area: 105 m2
Accessory parcel area: 12 m2 (inside the building),
12 m2 (outside building)
Calculation of share units: (105 x 1.0 x 1.0) + (12 x
0.50) + (12 x 0.25) 105 + 6 + 3
Share units: 114

39

PROCEDURE FOR STRATA TITLE APPLICATION

6.File the Plot Schedule to the COB

7.Issuance of Housing Development Licenses and Permits

8.Sell (S&P – Schedule H) / Build

9.Reach the Super Structure Stage

Developers submit a Strata Plan Proposal (format same as PA Strata) to JUPEM
JUPEM check [regular/irregular]. If regular issue a Certificate of Strata Plan Proposal
[CPSP)
-situations where the building has reached the G12 level (Uniform Building By-laws 1984,
Roads, Drains and Buildings Act 1974)

Certificate of Proposed Strata Plan (CPSP)

PTdCJJrMhaUoPUetuvePSPisCsEPoEtiPofMMoeSntbhqrPitoeuesafsaviaSnunilpesSeeCpwSJswlPisUcCcSsaPtehPePtEirecSotMbtinfPipoiecrpnSfoiaofetpt8roaereoAirgosgsedeuaudn1ntbodimszreeJterirUvtdatiAiPetnaHwEgpSMailnasinestrx3aistmatinoagnptpwhloiscrafkrtfoiloomnwthe

10.Strata Title Application

Applications for the subdivision of buildings or land must be submitted within 1 month after the
CPSP is obtained or another period in accordance with subsection 8(2) of the AHS
Application to use Form 1 by Landlord/developer to PTG

40

PROCEDURE FOR STRATA TITLE APPLICATION

11. Results from PTG [PASS/REJECT]

Prepared when pass:

Receive & review applications
Review documents
Application fee payment
Distribution
Check share units
Preparation of memorial notes
Prepare and review Consideration Papers
Certificate

12.Approval & Provision of PA Strata by JUPEM

Preparation of JUBL Acknowledgment Plan and review by JUPEM

13. Strata Title Registration

Vacant Possession

5F Notice Ready Issued a Management Register Form 4
Corporation certificat

14.Transfer of ownership for Strata Title is done

41

APPLICATION AND APPROVAL CONDITIONS
STRATA TITLE

The application is through Form 1 &

Form 1A for issuance of strata title

shall be complying with the

requirements under Sec.10

The application is through Form 1 &

Form 1A for issuance of strata title is

presented to Land Administrator

shall comply with the requirements

under Sec.9

PTG is entitled to not approve any

application is defective by reason of

any material non-compliance with

any requirement

Authority that approve application

for issuance of strata title is state

PTG respectively. (Perlis, P.Pinang,

Kedah, Perak, Kelantan, Terengganu,

Pahang, Selangor, WPKL, WPP,

N.Sembilan, Melaka & Johor)

The application can be withdrawn as

long as that withdrawal will not

detrimental the interests of any

person who has purchased any

parcels.

42

DOCUMENTS REQUIRED FOR STRATA TITLE
APPLICATION

For CPSP application:

Certified copy of the final title
Copy of CPSP application fee receipt
Proposed strata plan
Endorsed building plan
Copy of sale and purchase agreement
Reference no. of parcel schedule that had filed to the COB
Copy of SIFUS

For individual strata title application:

Parcel schedule
CPSP
Authorized letter from every person or body having a registered
interest in the land
Certified copy of the final title
Certified copy of CCC/CFO
Copy of quit rent receipt for the current year
Copy of sale and purchase agreement
Reference no. of parcel schedule that had filed to the COB
Copy of SIFUS
Schedule of Bumi lots distribution

For company application of strata title, the
additional documents required as follow:

Company resolution
Memorandum and articles of the company
List of Board of Directors
Statement of share distribution

43

THE PARTIES INVOLVED IN THE STRATA TITLE
APPLICATION

The main actors (key players) involved in

strata title application matters are:

Land owner


Licensed land surveyor

Land Office

Surveying and Mapping Department

Director of Lands and Mines

Registrar of Titles/Land Administrator.

TERMINATION OF STRATA TITLE

The building partially Only one owner remains
collapsed and the because the other

parcel owners asked owners sold their parcel to
for the entire building someone

to be demolished

Buildings
destroyed due to
natural disasters

and others

44

RELATED FORMS

PERMOHONAN UNTUK MEMECAH BAHAGI BANGUNAN ATAU BANGUNAN DAN TANAH
(SEKSYEN 10 AKTA HAKMILIK STRATA 1985)

45