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Theme : PERSPECTIVE ON URBAN REDEVELOPMENT
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ANNUAL CONFERENCE OF THE URBAN AFFAIRS ASSOCIATION
3-6 April 2013, San Francisco California,United States of America
REVITALIZING URBAN DEVELOPMENT IN MALAYSIA THROUGH THE
IMPLEMENTATION OF URBAN REGENERATION PROGRAMME
by
Dahlia Rosly
dahlia@townplan.gov.my
Azmizam Abdul Rashid
azmizam@townplan.gov.my
Abstract
Malaysia’s modern urban growth, development and urbanisation experiences may be
conveniently periodised into three major periods, based on the form, structure and
functions of the urban centres. . In Malaysia, given the growing conditions of neglect
and degradation of the cities centers. Since most Malaysian city centers are very old
historical cities and seem to be rediscovering now the economic value of creative
industries and culture. Urban revitalization and regeneration together with the issues
of energy sustainability and the need to reduce pollutant emissions, are today the
major challenges facing the planning of cities. The concept of urban regeneration in
Malaysia’s cities to promote a “return to the city”, revitalise the city centre, restore
activity in a fiercely competitive international context, and implement initiatives to
improve the quality of the environment operating in a wide sense towards a smart
growth. Urban regeneration is more than just upgrading the physical environment of
an area to hopefully spark private investment. However one of most critical issue in
urban regeneration is gentrification. This should not be happening in the true spirit of
urban revitalization. Instead of displacing the existing community, they should be
relocated to the same site. Therefore urban regeneration processes accomplishes the
growing importance in literature of concepts like territorial governance, institutional
relational density, creativity, social capital, city branding, city image and place
marketing. Kuala Lumpur City Hall is among the municipalities practices urban
regeneration by recognizing it as one of the strategic directions the city will take in an
effort to encourage more sustainable lifestyles.
Keywords : urban revitalization, urban regeneration, gentrification, public
participation
Introduction
By 2050, the world population is expected to increase by 2.5 billion, passing from 6.7
billion in 2008 to 9.2 billion. At the same time, the population living in urban areas is
projected to increase from 3.3 billion in 2008 to 6.4 billion in 2050. Thus, the urban
areas of the world are expected to absorb all the population growth expected over the
next four decades while at the same time drawing in some of the rural population
(OECD, 2005). Most of the population growth expected in urban areas will be
concentrated in the cities and towns of the less developed regions. Asia, in particular,
is projected to see its urban population increase by 1.8 billion, Africa by 0.9 billion,
and Latin America and the Caribbean by 0.2 billion. Population growth is therefore
becoming largely an urban phenomenon concentrated in the developing world.

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Theme : PERSPECTIVE ON URBAN REDEVELOPMENT
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ANNUAL CONFERENCE OF THE URBAN AFFAIRS ASSOCIATION
3-6 April 2013, San Francisco California,United States of America
There will be an increasingly large population to accommodate in the context
of space requirements for economic and social activities. Malaysia’s population in
mid-2009 stood at 28.3 million, and the United Nations projects the nation’s
population to grow to 40.4 million by 2050. Projections from Malaysia’s National
Physical Plan indicate that the population of Peninsular Malaysia would increase to
26.8 million in 2020, from a total of 18.5 million in 2000. Peninsular Malaysia’s
population would largely reside in urban areas of various levels and categories. While
Peninsular Malaysia’s urban population stood at 65.4 percent (12.1 million) in 2000,
it is expected to increase to 75 percent (20.1 million) in 2020. Spatial requirements for
urban and city development would thus continue to be a challenge to meet the needs
of the ever increasing population (OECD, 2001).
Cities and towns will expand in size and nature to play very important roles as
engines of growth to spur development. Cities are expected to provide economic
opportunities, and create conducive social environments for a better quality of life.
Cities will grow, evolve and age over time into complex and dynamic systems to meet
the needs of evolving businesses, employment, housing needs and lifestyles through
generations. However, the urban population’s expansion over the last 50 years has
placed excessive pressure upon the limited resources of the environment. Excessive
industrial growth, increased motorized transportation movements and social lifestyle
expectations, contribute to the expansion and continued sprawling of cities’. This
gives rise to the excessive use of energy and carbon burning which affects the
environment and the inner cities (OECD,2001).
At the same time, older cities now face deteriorating urban infrastructure and
services, inefficient water supply, sanitation, waste management, and transportation
problems as well as worsening environmental conditions. Challenges in planning and
managing urban and cities development, would therefore escalate in time when land
for expansion is scarce. Continued sprawling and expansion of cities in valuable
greenfield areas consequently leaves areas of inner cities to run down and decay in
dilapidated conditions. This adversely affects the physical, economic, and social
environments of inner city areas (Paddison,1993).
Arising Issues of Urban Development in the World
Cities or part of cities experiencing urban decay are easily recognized by
characteristics which include depopulation, economic restructuring, property
abandonment, high unemployment, fragmented families, political disenfranchisement,
crime, and desolate and unfriendly urban landscapes. Brownfield on the other hand
commonly denotes any former or current commercial or industrial site that is
currently vacant or underutilized and on which there has been, or there is suspected to
have been, a discharge of a contaminant. Generally, brownfields are properties that
are abandoned or underutilized because of either real or perceived contamination. By
common definition, brownfield site is a product of urban decay and are more often
associated with land left vacant or under-used due to contamination caused by
previous land use activities such as waste disposal and manufacturing activities.

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Theme : PERSPECTIVE ON URBAN REDEVELOPMENT
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3-6 April 2013, San Francisco California,United States of America
However the term is also used to refer to any land or premises which has been used or
developed and is not currently fully in use, which by this definition, also include
underutilized urban residential land.
Urban decay was first associated with Western cities, especially North
America and parts of Europe during the 1970s and 1980s during when, major changes
in global economies, transportation, and government policies created conditions that
fostered urban decay. In North America, industrial based city such as Detroit is an
example of a big city which has experienced urban decay. The car manufacturing
sector was the base for Detroit's prosperity and employed the majority of its residents.
When this industry began relocating outside of the city, it experienced massive
population loss with associated urban decay, particularly after the 1967 riots. On
continental Europe, the inner city districts and the edge of town suburbs made up of
single-class state subsidised housing, such as the French "cités" and British "council
estates", suffer the worst decay and blight. Britain experienced severe urban decay in
the 1970s and 1980s (Davidson & Lees 2005).
According to Paddison,1993, major cities like Glasgow in Scotland, the towns
of the South Wales valleys, and some of the major English industrial cities like
Birmingham, Manchester, Liverpool, Newcastle, and East London all experienced
population decreases with very large areas of 19th century housing experiencing
market price collapse. Large French cities are often surrounded by decayed areas.
While the city center tends to be occupied mostly by middle - as well as upper-class
residents, the city is often surrounded by very large mid to high-rise housing projects.
The concentration of poverty and crime radiating from the developments often cause
the entire suburb to fall into a state of urban decay as more affluent citizens seek
housing in the city, or further out in semi-rural areas. In early November 2005, the
decaying northern suburbs of Paris were the scene of severe riots sparked in part by
the substandard living conditions in public housing projects.
The Need for Urban Regeneration
Considering that land is a scarce resource, it is thus essential that land especially
urban land needs to be properly, efficiently, profitably, feasibly and professionally
invested, developed, administered and managed. The objective is to ensure that urban
land is used efficiently and effectively in relation to the national development
objectives which call for growth with equity (Brebbia, 2000). Whilst it is considered
easier and cheaper to look for ‘greenfields’ to solve development pressure resulting
from rapid urbanisation, efficient land use management dictates that there is the need
to adapt to external as well as internal pressures within the existing urban area and
look at these brownfield as potential sites for re-development that can accommodate
the increase in demand for more and better housing accommodation as well as other
usage, thus the need for urban renewal or regeneration.
In other words, urban regeneration is a solution to the opportunities and
challenges presented by urban degeneration itself (Roberts & Sykes, 2008). In the
United States, the main responses to urban decay have been through positive public

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Theme : PERSPECTIVE ON URBAN REDEVELOPMENT
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ANNUAL CONFERENCE OF THE URBAN AFFAIRS ASSOCIATION
3-6 April 2013, San Francisco California,United States of America
intervention and policy, through a plethora of initiatives, funding streams, and
agencies, using the principles of New Urbanism (or through Urban Renaissance, its
UK/European equivalent). Early government policies included "urban renewal" and
building of large scale housing projects for the poor. Today with many people
interested in moving back to the inner cities, new urbanism has renewed and restored
some of these neighborhoods. Due to higher population densities in Europe,
economics dictate that extremely low-density housing would be impractical.
In Western Europe, where land is much less in supply and urban areas are
generally recognised as the drivers of the new information and service economies,
urban regeneration has become a quasi industry in itself, with hundreds of agencies
and charities set up to tackle the issue. European cities have the benefit of historical
organic development patterns already concurrent to the New Urbanist model, and
although derelict, most cities have attractive historical quarters and buildings ripe for
redevelopment. In the suburban estates and cités the solution is often more drastic
with 1960s and 70s state housing projects being totally demolished and rebuilt in a
more traditional European urban style, with a mix of housing types, sizes, prices, and
tenures, as well as a mix of other uses such as retail or commercial.
One of the best examples of this is in Hulme, Manchester, which was cleared
of 19th century housing in the 1950s to make way for a large estate of high-rise flats.
During the 1990s it was cleared again to make way for new development built along
new urbanist lines. The area is held up as an excellent example of Urban Renaissance.
In the local scene, in particular in Kuala Lumpur City, the local authority in its effort
to elevate the city’s status at par with other premier cities in the world, urban
regeneration has been recognized as one of urban planning mechanism that can help
achieve the target. Under the Draft KL City Plan 2020, older areas which include
dilapidated and blighted housing areas, abandoned projects, brownfield sites and
urban villages will be systematically and progressively regenerated and revived
according to the urgency of the urban needs.
Urban regeneration is a complex combination of social, economic, planning,
construction and management activities. These elements of urban regeneration are
brought together to improve the social sustainability, economic stability and the
infrastructure of a geographical location and so help improve the sustainability of the
urban landscape it occupies. There has been a trend towards including agencies
outside the local authority in urban regeneration strategies. Experiences of successful
regeneration demonstrated that urban regeneration is most effective when it is
delivered in partnership with those groups and organizations best placed to influence
the success of urban regeneration projects. This means that local authorities deliver
urban regeneration in partnerships which can include Central Government,
construction companies, other private sector organizations and, perhaps most
importantly, local communities (Paddison, 1993).
Consultation with local communities about urban regeneration plans has been
recognized as being vital to the success of urban regeneration projects. This is because
urban regeneration has direct links to, and affects directly, the communities living in

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Theme : PERSPECTIVE ON URBAN REDEVELOPMENT
5 43rd
ANNUAL CONFERENCE OF THE URBAN AFFAIRS ASSOCIATION
3-6 April 2013, San Francisco California,United States of America
the areas where regeneration is planned. As a consequence, community regeneration
is an integral part of urban regeneration and it is now hard to imagine the success of
any regeneration project involving residential property where the views of local
communities were not taken into account. Successful urban regeneration will not only
work at the physical level but will result in successful, viable, vibrant and sustainable
communities (Davidson & Lees, 2005).
Urban Regeneration : The Dynamic Approaches in Urban Development
In facing these challenges, planning and managing cities in this context require new
and dynamic approaches. Initiatives and actions to refresh city living and treat cities
as living ecosystems, is inevitable. Measures to mitigate and adapt to climate change
impacts and fostering the involvement of private sector and civil society in the
process of urbanization, is pertinent. Managing urban issues and development requires
integrated approaches in reviving the development of cities. The appropriate
combination and utilization of smart growth development concepts, mixed and
compact cities’ development and transport-oriented developments that revitalize
economic growth and market attractions, must be explored and implemented. In this
context, all areas of cities and towns must be given attention. While the ‘young’
growth centres are injected with development, the ‘old and once flourishing’ city and
town areas must not be left to decay further, but must be refreshed and given new
breath.
According to Roberts & Sykes (2008), termed urban regeneration as a global
phenomenon. It is an outcome of the interplay between the many internal forces that
are present within the urban areas itself and the external forces that dictate the need
for the urban areas to adapt. Within an urban area, a rational pattern of land use will
evolve and this tendency is exhibited in all cities irrespective of size, origin or
geographical location. Principle factors that determine the pattern of land use in a
particular urban area include competition for sites, accessibility and complementary
factor in the sense that once a number of sites in a given area have been developed,
this will have a strong bearing on the use of the remaining sites.
Urban regeneration (similar to urban renewal in American English) is a
program of land re-development in areas of moderate to high density urban land use
to reinvigorate a run-down urban area, such as the inner city. It is defined by Roberts
& Sykes (2008) as:Comprehensive and integrated vision and action which leads to
the resolution of urban problems and which seeks to bring about a lasting
improvement in the economic, physical, social and environmental condition of an
area that has been subject to change. In North America and Europe, urban
regeneration process began as an intense phase in the late 1940s after the World War
II and continued into the late 1970s with traces of it still occurring in the early 1980s.
The definition of urban regeneration is intermingled with urban renewal and urban
redevelopment where urban regeneration is regarded as a part of urban renewal
initiatives. The Human Geography dictionary defines Urban Regeneration as “the
rehabilitation of deteriorated or distressed urban areas, by slum clearance and

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Theme : PERSPECTIVE ON URBAN REDEVELOPMENT
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ANNUAL CONFERENCE OF THE URBAN AFFAIRS ASSOCIATION
3-6 April 2013, San Francisco California,United States of America
redevelopment construction in housing and public facilities”. However in
differentiating them, urban redevelopment is regarded as the physical activity of
reconstructing distressed or dilapidated areas into better environments or simply the
‘destroy old’ and ‘erect new’ perspective in development. Urban regeneration is often
presented as a natural process through which the urban environment, viewed as a
living entity, undergoes transformation. The main purpose being to deliberately
change the urban environment and to inject new vitality through planned adjustment
of existing areas to respond to present and future requirements for urban living and
working (Paiola,2008).
Urban regeneration can be defined as a social and technical partnership based
on the unification of the vision of politicians and designers and on the wide
acceptance by the community. It is thus a multi-faceted and complex process which
should not be viewed merely as a physical and financial proposition, but as a
sociological, cultural, economical and political matter as well (Couch, 1990). Past
experience has demonstrated the need to view neighborhood regeneration as a
comprehensive and integrated process. A realistic renewal program must approach
regeneration in a holistic way and be based upon a multi-disciplinary understanding of
the social and economic forces affecting urban areas and the physical nature of towns
and cities (Roberts & Sykes, 2008).
Urban regeneration, on the other hand, is a comprehensive programme of land
redevelopment with the complex combination of economic, physical planning,
management and social considerations. The ‘old’ is enhanced and ‘new’
developments are constructed to revitalise the economic growth and the social
environments of the selected areas. Urban regeneration involves rehabilitation efforts
of impoverished and derelict urban industrial areas and neighbourhoods by large-scale
renovation or reconstruction of housing, public works, commercial uses and mixed
developments. These elements of urban regeneration are brought together to improve
the social sustainability, economic viability and the infrastructure of city areas and to
help improve urban landscapes. Similar mechanisms have played an important role in
the history and demographics of cities around the world, including: Beijing, China,
Melbourne, Victoria; Saint John, New Brunswick; Glasgow, Scotland; Boston,
Massachusetts; Warsaw; San Francisco, California; and Bilbao, Spain. Commonly
cited examples include Canary Wharf, in London, and Cardiff Bay in Cardiff.
According to Roberts & Sykes (2008), Urban regeneration does not only
mean re-development per se. Due to rather destructive nature of redevelopment
process, there have been alternative methods of regeneration practiced by planners
and authorities such as refurbishment, upgrading and restoration. Many US federal
programmes have been directed towards urban revitalization, not all of them
successful, but the containerization of Boston's docks, the redevelopment of the
waterfront, and improvements in transport facilities have been accounted a success
(Rosenthal,1980). Similarly, urban regeneration programs in the UK have evolved
over the years. The British government was concerned to target regional aid, and set
up enterprise zones and urban development corporations, while encouraging the

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Theme : PERSPECTIVE ON URBAN REDEVELOPMENT
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3-6 April 2013, San Francisco California,United States of America
growth of housing associations. A score of the regeneration programs were carried out
with participation from the private sector. In the UK, there are private companies
known as Urban Regeneration Companies that seek to achieve a radical physical
transformation of their areas through master-planning and coordinating financial
assistance to developers from both the public and private sector (Davidson & Lees,
2005).
The Urban Regeneration Wave
Cities are undoubtedly the centres for a nation’s economic growth. But cities are like
living organisms, they age over time, they evolve and change. They are complex and
dynamic systems. Without change, cities will not be able to meet up with the needs of
evolving businesses and employment, housing needs and lifestyles through the
generations. Transformation of the urban environment, especially of old city centres
can be termed as urban renewal. Urban literature uses, often without definition, terms
such as urban regeneration, urban revitalization, gentrification, neighborhood renewal,
rehabilitation, and renovation. The modern incarnation of urban regeneration began in
the late 19th century in developed nations and since then, the process has had major
impact on many urban landscapes, and demographics of cities around the world.
Moving away from the traditional demolition, reconstruction and population
displacement renewal schemes, present regeneration efforts are more comprehensive
with the combination of economic, physical, institutional and social considerations for
building effective and sustainable environments. Urban renewal and regeneration is
now a pertinent ingredient for building sustainable cities. Many success stories of
urban regeneration efforts from various developed cities and other parts of the world
such as the UK, USA, Australia, Canada, Sweden, Hong Kong, Singapore and South
Korea can be benchmarked to see how concerted efforts have transformed and
revitalized cities. Successful examples indicate how derelict brownfields, dockyards,
industrial areas, and worn-out city areas are transformed into new, fresh and vibrant
economic centres providing new opportunities and city environments (Lees,2000).
Successful Urban Regeneration Cases
Urban regeneration is often presented as a natural process through which the urban
environment, viewed as a living entity, undergoes transformation. The main purpose
of is to deliberately change the urban environment and to inject new vitality through
planned adjustment of existing areas to respond to present and future requirements for
urban living and working (OECD,2005). Urban regeneration can be defined as a
social and technical partnership based on the unification of the vision of politicians
and designers and on the wide acceptance by the community. It is thus a multi-faceted
and complex process which should not be viewed merely as a physical and financial
proposition, but as a sociological, cultural, economical and political matter as well
(OECD, 2005). Past experience has demonstrated the need to view neighborhood
regeneration as a comprehensive and integrated process. According to Paddison
(1993) and Davidson & Lees (2005) a realistic urban regeneration program must

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Theme : PERSPECTIVE ON URBAN REDEVELOPMENT
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ANNUAL CONFERENCE OF THE URBAN AFFAIRS ASSOCIATION
3-6 April 2013, San Francisco California,United States of America
approach to holistic way and be based upon a multi-disciplinary understanding of the
social and economic. It must force that affecting urban areas and the physical nature
of towns and cities. There are many examples of urban regeneration practices
successfully carried out in many major cities in the world. Listed below are some of
the more prominent and popular success stories.
a. In the UK, the redevelopment of the London Docklands into attractive waterside
apartments along the River Thames and the old docks by the London Docklands
Development Corp, the agency set up to regenerate the 22 sq km area in east
London has brought many benefits to areas including major facelifts in terms of
new shops and food and beverage outlets. The high profile construction of the
innovative and exclusive waterside regeneration development at London’s Canary
Wharf in the 1980s reflected, in part, the hopes and aspirations of the
Conservative Government at that time. In London’s Canary Wharf, the
transformation of the once shipping dockyard, has boosted the Docklands into a
major business centre with improved transportation links and an increasingly
acceptable area to live with a ‘more than double’ population figure (Roberts &
Sykes,2008);
b. Another UK example, Glasgow, has been transformed from a redundant,
dilapitated city of economic decline with high unemployment, urban decay and
population decline to a revived economy with its regeneration of inner-city areas,
especially the largescale Clyde Waterfront Regeneration, and the Glasgow
Harbour Project. The futuristic Glasgow Harbour regeneration project is one of
the largest waterfront regeneration projects in the UK. The city now resides in the
Mercer index of top 50 safest cities in the world and is considered by Lonely
Planet to be one of the world’s top 10 tourist cities (Roberts & Sykes,2008);
c. In Canada, the regeneration of False Creek, a former railway and industrial area
located in inner city area of Vancouver has resulted in an increase of green areas
and parks amounting to 20 % of the total False Creek area of 204 acres that are
accessible to city dwellers, a vibrant waterfront and additional supply of public
housing (constituting 20 % of the total housing in the area);
d. Melbourne Docklands, Australia, is another regeneration example. The area, once
used for docks, rail infrastructure and industry, mostly fell out of use, vacant and
unused during the 1980s. Urban renewal began in 2000 and now the project boasts
wide open water promenades and road boulevards with contributions of
landscaping and public art commissions. The Melbourne Docklands has become a
sought after business address attracting multinational corporate businesses;
e. Urban regeneration in Cheongyecheon, Seoul, South Korea is a “back to nature”
initiative. The renewal project involves the restoration of a stream that was
covered by an elevated highway which was then deteriorating and posed safety
problems. The project was aimed at revitalising the economy of the Seoul
metropolis and to become a human-oriented and environmental-friendly city. The
urban renewal project was the catalyst for revitalizing downtown Seoul,

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transforming Cheongyecheon into the centre of cultural and economic activities.
Cheongyecheon is today a popular site among Seoul residents and tourists;
f. In Shanghai, China, the regeneration by way of restoration, preservation and
rejuvenation (by adding new high-rises at the periphery) of old and historical
buildings of Xintiandi, has given new lease of life to area which has since become
a major tourist attraction;
g. In Hong Kong, the regeneration of Langham Place located in the heart of old
Mongkok area has transformed the once red-light district area into a thriving
commercial and retail address of today through a joint venture between the Urban
Renewal Authority (URA) of Hong Kong and a private developer; and
h. In Singapore, brownfield developments exercises carried out by Sime Darby
Property Berhad on its properties, the Orion, an originally old serviced apartment
with low building efficiency into a 27-storey high-end condominium with 46
luxurious units, and Petro Centre and Sime Darby Enterprise Centre (originally
both were old factories) into high-rise modern light industrial buildings, have
resulted in increased returns on investment of 63%, 36 % and 12 % respectively.
Arising Issues of Urban Development in Kuala Lumpur City-Region
In Malaysia, the traits of urban decay can be discerned by looking at the increasing
number of urban poverty mainly due to migration of workers (both domestic and
international) to urban areas in search of better economic opportunities and the
expectation of an improved quality of life in urban areas especially within the period
from 1980 to 1995 as shown by urbanisation rate, population and housing census and
numbers of poor urban household which grew in tandem with each other. This
increasing numbers of population among the lower income stretched the amenities,
particularly affordable and medium cost housing and public transportation, to the
limit. In year 1996 onwards, decentralisation of development started to occur and
keep continuing resulting in Klang Valley urban sprawl which now sees the larger
Kuala Lumpur Metropolitan Region covering an area of approximately 4,000km
stretching south to the Kuala Lumpur International Airport (KLCH,2008).
As some urban household’s income has moved up the income ladder, some
will move and relocate to more conducive housing areas which were developed
rapidly in the suburbs or outskirts of the city centre resulting in empty units among
old housing developments. This scenario could be found in old areas such as
Brickfields, Sentul and Salak South / Sungei Besi. A type of urban decay that has
been apparent in certain parts of Kuala Lumpur City is the one caused by abandoned
projects resulting from the late 1990’s market crash and economic recession.
Examples are the Plaza Rakyat bus and light rail transit terminal and Nas Pavillion
upmarket condominium which have more or less marred the urban landscape of Kuala
Lumpur City. Ironically, these two projects are also urban regeneration attempts of
transforming the Jalan Imbi area marked by old and dilapidated shophouses into
modern amenities building and upmarket condominium. There are many old towns

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and cities in Malaysia, and in particular, within the state of Selangor where an
estimated 90% of its population resides in cities and towns.
There are external forces that would dictate these cities to adapt to changes
and internal forces that are present such as physical, social, environmental and
economic factors that are prime generators of change. The Selangor State Government
is seeking to revitalize old city centres such that these centres not only act as magnets
for businesses but also offer a better quality of life for city dwellers. According to
National Urbanisation Policy by FDTCP, 2006,the major urban centres in Selangor
are Petaling Jaya (2008 urban population of 261,000 persons), Subang Jaya (315,400
urban population), Shah Alam (258,300 urban population), Ampang Jaya (574,300
urban population), Kajang (356,800 urban population) and Klang (617,500 urban
population).
The population of these urban centres are mostly concentrated in the
operational areas of the municipalities, recording high population densities. For
instance, the Ampang Jaya Municipality has the highest density of 108.32 persons per
hectare, followed by Petaling Jaya City Council (MBPJ) with 55.66 persons per
hectare. The Subang Jaya Municipality has a density of 33.78 persons per hectare,
Kajang Municipality with 31.82 persons per hectare, Shah Alam and Klang with
15.21 and 14.11 persons per hectare. Due to the economic opportunities and location,
Selangor cities now play prominent roles in the flourishing developments of the Klang
Valley.The high rate of development and population increase in the State brings
challenges which need to be tackled. While the lack of clear urban limits has led to
urban sprawl encroaching upon environmentally sensitive and major agricultural
areas, the inner city areas face issues of decline in quality of living.
Substantial parts of the aged inner city areas are now less competitive in urban
economies, have an inefficient transportation system, inefficient infrastructure supply,
insufficient community services, lack of emphasis on urban design and heritage
conservation and are also degrading environmental quality. This demands attention
and action. The increase in development demands new economic priorities, job
opportunities, efficient transportation linkages, renewed areas for housing, social
amenities, commercial and other urban landuses. Thus, while preserving agricultural
and environmentally sensitive areas, cities and towns of Selangor require combined
approaches of redevelopment and revitalization of its old and ageing cities into fresh
and vibrant economies with environment-friendly and energy-saving features for
achieving sustainability.
Urban Regeneration Trend and Practices in Malaysia
Malaysia has her fair share of redevelopment efforts that have taken place over the
years. Urban regeneration practices in Malaysia can be considered to be still in its
infancy stage. The exception to this perception is perhaps Kuala Lumpur city-region.
Malaysia is still a developing country and many major cities in Malaysia are still
growing with new on-going developments carried out and the full impact of urban
decay is yet to really put its toll, if compared to other major cities in the world.

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However, for older established cities such as Kuala Lumpur, Georgetown (Penang),
Melaka and Johor Baru, directions as to the sustainable future development trends in
inner and outskirt areas of the cities have brought about proposals and debates on
urban regeneration practices, especially among the local authorities, property
developers and landowners.
Urban regeneration programme clearly stated in 10th Malaysia Plan under
Chapter 6 - Building an Environment that Enhances Quality Of Life (PMD, 2009).
Building vibrant and attractive living spaces that influencing the form and character of
living spaces to make them attractive places to live, work and play. In order to unlock
the development potential within cities, urban renewal and redevelopment of
brownfield sites will be pursued. This will be achieved through appropriate incentives
and mechanisms to support the redevelopment of unused, dilapidated or abandoned
sites (PMD, 2009). In order to support the 10th
Malaysia Plan on urban regeneration,
2th National Physical Plan stated that in order to utilise infrastructural investments
efficiently urban expansion should be directed to where adequate infrastructure and
social facilities are in place or committed to be put in place.
Efforts should also be taken to encourage urban regeneration and infill
development to reduce the speculative opening up of greenfield sites. Setting a
National Spatial Framework - NPP 12 stated that Structure Plans and Local Plans
shall encourage infilling and the use of brownfield sites within the urban areas, to
better utilise existing and committed physical and social infrastructure. Local
planning shall create scope for urban regeneration in the core cities not only for the
purpose of economic growth but also for the purpose of enhancing the living
environment. Local planning shall be sensitive to the conservation of historical,
cultural and architecturally outstanding areas to enhance the character and uniqueness
of individual cities. Under Section 16B(1) Act 172 Town and Country Planning Act
1976 also stated that Special Area Plan at any time during the preparation or upon the
coming into effect of a structure plan or a local plan - a proposal for the designation
of a special area for special and detailed treatment by development, redevelopment,
improvement, conservation or management practice of the whole or part of such
special area, and the nature of the treatment proposed. This will be achieved through
appropriate incentives and mechanisms to support the redevelopment of unused,
dilapidated or abandoned sites.
One of thrusts under the National Urbanisation Policy is an efficient and
sustainable urban development. Urban regeneration programme of suitable and
strategic areas is one way of increasing the efficiency of urban areas. In addition, such
programme is capable of fulfilling local needs for enhancing the quality of living and
environment, generating economic activities and employment opportunities. For this
purpose, one the policies proposed the urban development shall give priority to urban
regeneration within the urban area. Therefore the strategies to implement urban
regeneration in urban area are:
a. Implement infill development at potential areas;
b. Identify and prepare an inventory of brownfield areas;

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c. Plan and prepare the re-development programmes for brownfield areas;
d. Promote urban regeneration for areas potential for development;
e. Rehabilitate polluted areas prior to development;
f. Establish an agency responsible for planning and managing urban renewal; and
g. Encourage private sector involvement through the provision of incentives and
joint venture programmes with the government.
Consequently, of late, various news and articles on urban regeneration issues
have surfaced and made special features in major section of local business papers.
From local authority’s perspective on urban policy, Kuala Lumpur City Hall is pre-
emptive among the municipalities in terms of urban regeneration practices by
recognizing it as one of the strategic directions the city will take in an effort to
encourage more sustainable lifestyles by providing opportunity to recycle land, clean
up contaminated sites, and assist environmental, social and economic regeneration,
whilst at the same time reducing pressure to build on greenfield sites. The approach
will be based on the following urban regeneration exercises:
a. Total re-development
This method will involve total demolition of the existing building and clearance of the
site which include removal of existing business and residential occupants. It is
particularly suitable for blighted housing and industrial areas to transform a dying
area into a positive and dynamic image of the city. The areas identified to re-
developed will be more intensified in use such as mixed development and medium to
high density residential. All redevelopment areas will be required to provide for
community facilities, improved infrastructures and urban parks/local play area. Any
proposals for redevelopment also are required to be integrated with the surrounding
urban fabric by ensuring continuity in public realm, green spaces and pedestrian
networks. Where redevelopment areas are identified as Transit Planning Zones,
provisions for transit facilities are to be made and the developments are to be
integrated fully with transit facilities and high quality pedestrian environment.
Revitalization / Refurbishment
This method will involve upgrading of the existing building or site in order to
rejuvenate and gives a new lease of life to the building or the site.
b. Conservation and Preservation
The method is particularly suitable for buildings or sites with historical value and
have tourism potential.
In Kuala Lumpur, perhaps one of the most prominent redevelopment projects
in the country is the transformation of the former Selangor Turf Club area in Jalan
Ampang to the Kuala Lumpur City Centre (or better known as KLCC) where the
tallest Twin Towers stand. Another admirable project is the transport-led urban
regeneration efforts of the KL Sentral as Kuala Lumpur city’s transportation hub. The
project represents a vivid transformation of the Brickfields neighbourhood into a more
promising local economy and creating development opportunities and impetus for
growth in the area. It is clear that the transformation of Brickfields from an ethnic

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residential and commercial enclave to a cosmopolitan hub is linked to the railway-
linked regeneration effort. MRCB group in consortium with Keretapi Tanah Melayu
Berhad (KTMB) and other construction company was awarded the privatization
exercise by the Malaysian Government. The site which was previously used by
KTMB as a marshalling yard, locomotive maintenance and warehousing and built
with go downs, warehouses, sheds, living quarters, office buildings and facilities for
locomotive cleaning has now been transformed into a contemporary and bustling
transportation nucleus (KLCH ,2008).
Tamansari Riverside Garden City is the RM9 billion riverside city project at
the intersection of Jalan Pahang and Jalan Tun Razak area in Kuala Lumpur,
previously occupied by the Pekeliling Flats which will have as its centrepiece a 60-
storey tower unlike any other in the world. Residents of the one-room flat built in the
1970s has since been relocated to a three-room flat built by ASIE with financing from
Devlopment Bank of Malaysia. Sentul, an area stigmatised as crime-infested area has
seen a major facelift by the Sentul Masterplan regeneration involving a 294-acres of
prime land divided into two portions by the existing Sentul KTM commuter station
and its track forming two precincts; 186-acre Sentul West and 108-acre Sentul East.
Sentul is now synonymous with KL’s performing arts centre. Southgate Commercial
Centre, KL South is inspired by Xintiandi in Shanghai, Southgate is an integrated
business centre with a fusion of creative work spaces and lifestyle retail developed
over site previously occupied as industrial premise. Mah Sing Group is the developer
of Southgate and has since managed to sell a block of the office building within the
development to a government linked agency even though construction is still in early
stage (KLCH 2008).
Urban regeneration programme in Selangor is one of the six Selangor
Government’s Economic Stimulus Package that has been announced recently. The
stimulus package, which includes the rehabilitation of the Klang River and enhancing
the transportation system, is expected to generate an estimated RM10 billion in
investments. The urban regeneration and redevelopment programme is aimed at
revitalizing the towns, creating job opportunities, enhancing the quality of life,
improving amenities and infrastructure, improving management of the state assets as
well as generating more revenue for the state and local governments. Beginning as
vibrant economic centres for the State, over the years the older towns in Selangor
have aged and are not functional to meet present-day needs and challenges.
Urban regeneration is thus, needed to replan and transform the old urban and
industrial areas of Petaling Jaya, Klang, Ampang Jaya and Kajang to revitalize
economic activities, provide better transportation linkages and infrastructure for
enhanced and efficient social environments. Urban regeneration is a complex
combination of social, economic, planning, construction and management activities.
In translating the policies from the State Structure Plan, the Local Plans for these
municipalities have earmarked the appropriate areas for redevelopment in these
towns. All in all, an approximate total of 2,375 hectares have been identified in the
Local Plans and Draft Local Plans of Petaling Jaya, Klang, Ampang Jaya and Kajang

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which are ripe for and in need for regeneration and redevelopment. Approximately, a
total of 1,672 hectares are areas in Petaling Jaya, namely the industrial, commercial
and residential areas of Sections 13, 51, 51A and 52 (MBPJ, 2008).
Petaling Jaya City Council (MBPJ) has also recognized the importance of
sustainable urban regeneration practices. The Local Draft Plan for the city has come
up with a Special Area Plan (RKK) that was ready for public scrutiny in 2008. Under
RKK, proposals that would encourage urban regeneration practices are stipulations
that allow for increase in plot ratio and maximum building, conversion of land to
commercial uses and restriction on new industrial activities will be imposed or no
new manufacturing activities are allowed (existing ones area allowed to carry on) for
areas specified under RKK. For old established area that are built-up with and
occupied by large factories such as Section 13, the above policies are seen as to
encourage landowners and property developers to embark on regeneration which most
probably involve total redevelopment of their land from that of industrial use to
commercial activities (MBPJ, 2008).
Over the years, the section has been deemed as more suitable for commercial
use as tougher environmental issues, higher rent and/or land costs and logistical
reasons have forced some of the heavy and light industrial factories to move out to
areas like Shah Alam, Klang, Sungai Buloh and Puchong.Already, the area has seen
some kind of transformation via recent completion of commercial development on
previously factory sites such as the new and trendy commercial (retail) developments
of Jaya One and Jaya 33. Klang has an approximate total of 131.4 hectares in need of
redevelopment, especially the Klang town centre and Kampung Pandan of Klang,
besides the banks of the Klang River. Kajang has an approximate area of 412.4
hectares identified which are the town centre and Sungai Ramal areas while 159.3
hectares have been identified in Ampang Jaya covering the areas of Ampang New
Village, residential areas in Jalan Jelatek, Taman Keramat (or better known as the
Colombia Flats) and traditional villages in Kampung Pandan Dalam.
Mechanism to Implement Urban Regeneration Programme
The implementation of this effort on urban regeneration in Kuala-Lumpur city-region
shall not be an easy task. Mechanisms for preparing the appropriate development
plans, refining the legal aspects, stakeholders’ consultation and institutionalizing the
implementation authority to undertake and implement the effort shall have to be
carefully planned. The State Government is committed and determined in this venture
and has embarked on initial moves towards this. Consultants and experts have been
appointed to work along with the State Economic Planning Unit, State Town and
Country Planning Department and the Local Authorities to study and identify actual
sites for regeneration and to suggest priorities in developing them. A Special
Committee has been appointed to oversee these studies and actions for the
regeneration efforts. For the Klang area, the redevelopment of the Klang River is of
priority. The State is now undertaking a landuse study to inventorize development

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along the banks of the 21 kilometres Klang River alignment in the Klang, Shah Alam,
Subang Jaya and Petaling Jaya Municipalities.
From the legal perspective, the State and local authority intend to prepare
development plans through the Special Area Plan mechanism as stipulated in the
Town and Country Planning Act, 1976 (Act 172). We also understand that other
related legislations that may have implications shall have to be studied, updated and
coordinated along the way. From the institutional perspective, experiences of Hong
Kong and Singapore indicate the necessity for establishing appropriate implementing
bodies to spearhead renewal projects. Hong Kong and Singapore have Urban Renewal
Authorities established while regeneration in Melbourne Docklands is through the
existing agency of its State Government of Victoria. In South Korea the Seoul
Metropolitan Government established the Cheongyecheon Restoration Project
Headquarters and Cheongyecheon Restoration Research Corporation for establishing
and review of the restoration plan for the Cheongyecheon stream restoration.
In terms of funding, experiences of successful urban regeneration efforts
demonstrate that urban regeneration is most effective when it is delivered in
partnership with those groups and organisations best placed to influence the success
of urban regeneration projects. The initiative for private funding or joint public-
private funding is essential. This means that Government and Local Authorities would
work in partnership with construction companies, private sector organisations and
local communities. From the social perspective, consultation with local communities
about urban regeneration plans has been recognised as being vital to the project’s
success. This is because urban regeneration has direct links to, and affects directly, the
communities living in the areas where regeneration is planned.
As a consequence, community regeneration is an integral part of urban
regeneration. Successful urban regeneration will not only work at the physical level
but will result in the building of successful, viable, vibrant and sustainable
communities. In Selangor, perhaps a Citizen’s Committee could be formed like in
Korea, in order to emulate the experiences of successful projects from abroad. The
State is determined that renewal efforts shall involve social inclusion of stakeholders
into redevelopment efforts. Initial plans under discussion have touched on aspects of
provision of affordable housing for low income households, micro-financing schemes
for qualified low income individuals to ensure their direct involvement in
development of urban slum areas, the improvement of IT infrastructure and
broadband penetration and to enlarge regeneration areas into mini-city centres. These
areas can then be transformed into hubs of economic activity for business, education
and social activities as well as enhancing growth small and medium enterprises
(SMEs) in these areas.
Its would suggest that the possible approaches to neighborhood regeneration
can therefore be identified as: (i) redevelopment, wherein a neighborhood is rebuilt
anew; (ii) rehabilitation, wherein the existing structures are preserved and upgraded;
(iii) and integration, a combination of the first two approaches. Each approach can
involve the re-housing of the population on the original site or its relocation to another

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part of the city. In terms of redevelopment, for developers, redevelopment represents
maximum profit through the sale of new centrally -located units. For local
governments, this approach represents maximum use of land, higher floor area ratio,
and has the advantage of introducing higher income groups and commercial activities
to the city center, which increase tax revenues. It also leads to higher population
density and improved services and infrastructures, which is highly desirable for
modernizing inner-city areas.
However, this approach may carry heavy social and environmental costs. The
demolition of architectural environments is probably the most serious consequence of
the redevelopment approach. It can bring about the sacrifice of a community’s
cultural heritage and the destruction of viable neighborhoods. Redevelopment
generally involves the relocation of the original population to another part of the city.
Even when the residents are re-housed on the same site after its redevelopment, the
transformation of the neighbourhood beyond recognition has inevitable psychological
impacts upon the community. For rehabilitation, often termed as conservation or
preservation, is seen as the opposite of redevelopment. It is based on preserving,
repairing, and restoring the natural and man-made environments of existing
neighborhoods. Rehabilitation is applicable to areas where buildings are generally in
structurally sound condition but have deteriorated because of neglected maintenance.
In developing countries, upgrading generally refers to a comprehensive
developmental approach wherein the original population remains on the site and
incrementally upgrades the neighborhood, with or without public assistance. By
treating the resident population as an active force in the housing process, this
approach generates a greater pride in the neighborhood and halts the impending
deterioration caused by a lack of investment and environmental concern.
Rehabilitation is often perceived as a complex and time-consuming process which is
more difficult to implement than redevelopment. It requires a high degree of social
organization and social responsibility, as well as a total reorganization of the housing
process. The third approach to neighborhood regeneration, which referred to as
integration, views redevelopment rehabilitation as complementary forces and
combines the best aspects of both approaches. It consists of rehabilitation of what can
realistically be saved, combined with reconstruction of new buildings in place of
those beyond the reach of feasible rehabilitation.
Today, we consider integration as the most acceptable way to regenerate old
neighborhood. It allows for flexible project implementation which can preserve the
traditional urban environment and its human scale while achieving respectable
densities. It respects the social order of the community by re-housing the majority of
the original residents on the site and invites mass participation. Integration results in
the creation of rich environment through the integration of new buildings within the
existing neighborhood and allows for the development of a new form of contemporary
architecture with local characteristics, enriching the appearance of the old city while
maintaining its identity (Davidson & Lees , 2005).

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Issues of Implementation Urban Regeneration in Malaysia
Urban regeneration's effect on actual revitalization is a subject of intense debate. It is
seen by proponents as an economic engine, and by opponents as a regressive
mechanism for enriching the wealthy at the expense of taxpayers and the poor
(Rosenthal, 1980). It carries a high cost to existing communities, and in many cases
resulted in the destruction of vibrant, albeit run-down neighborhoods. For the
proponents, the main argument is that urban regeneration would cut the tendency to
urban sprawl, reduce pressure to extend development on green-field sites, prompt the
rehabilitation of dilapidated properties and bring vacant properties back on the
market. It would also remove a perceived imperfection in the current land market,
which today is certainly forcing people and businesses out of the inner city,
sometimes unwillingly.
Best of all, the communities in which these ``future brownfield sites`` reside
are benefited by the obvious and instant community and environmental benefits
associated with the cleanup of a polluted site. For the opponents, urban regeneration is
extremely controversial in that it typically involves the destruction of businesses, the
relocation of people, and the use of eminent domain (known as compulsory Land
Acquisition or Compulsory Purchase in the UK) as a legal instrument to reclaim
private property for city-initiated development projects in order to secure sites into
public ownership. Many authorities are sitting on large tracts of suitable land, but in
the main any major development programme would involve the public sector
acquiring land from the private sector. In many cases, compulsory land acquisition is
too costly for the government to bear due to high land values generally associated
with urban land.
Urban regeneration also has been known to demolish entire neighbourhoods in
many inner-cities and in many ways it was a cause of urban decay rather than a
remedy. In cases involving slum areas, slum clearance is redevelopment after
wholesale clearance of the site, but this has the effect of destroying communities and
has become unacceptable in certain cities in the world. In Oxford, England for
example, the community of St Ebbe's was relocated at the edge of the city, in
Blackbird Leys, leaving the population with a long journey to work and fewer
amenities. Often, at the same time, gentrification also occurs as a direct result of
regeneration whereby the original inhabitants no longer afford to live at the same area
after redevelopment has been completed and are priced out by the increase in property
values caused by new higher-income communities that moved in (Lees, 2000).
Similar urban regeneration efforts carried out in Kuala Lumpur involving slum
area is also not without similar controversies. The Tamansari project is a perfect
example whereby regeneration project of a slum area has caused total removal and
relocation of the occupants of the demolished building to a site which in the opinion
of the majority are not suitable and rather costly to the their new livelihoods. Whilst
some residents have agreed to move to their allocated new housing units in the fringe
of the city, the remaining residents did not like the ones allocated to them and have
refused to move unless they are given a written guarantee they will be allotted flats

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which are nearer to the city centre. Other scenario found in Kuala Lumpur is cases
whereby urban decay is a direct product of regeneration itself.
The stalled Plaza Rakyat bus and light rail transit terminal project and the
abandoned Nas Pavillion upmarket condominium are two examples of urban
regeneration efforts which failed and instead contributed to the decaying facets of the
existing nearby properties in the area. Without the added cost of compulsory land
acquisition, urban regeneration exercises on its own is also known to be costly much
due to problems caused by the type of property dealt, brownfield sites and dilapidated
buildings. In most cases, it requires a concerted effort and cooperation between the
public sector, the private sector and the community affected. To property developers,
urban regeneration involving brownfield redevelopment is a unique real estate
development type. The economic drivers are generally similar to those found in
typical real estate/greenfield development, but environmental contamination
introduces several hurdles to successful economic redevelopment (KLCH, 2008)
On the cost side, the expenses associated with brownfields redevelopment are
higher than those of greenfields and include the purchase price, closing costs,
remediation and risk management costs, capital expenditure (e.g., infrastructure,
building improvements), soft costs (e.g., legal, rezoning, engineering and consulting)
and sales costs (e.g., marketing and/or commissions). The other hurdle associated
with contaminated real estate which is as important for the developer is the potentially
larger environmental liability and the difficulty of finding debt project financing.
Brownfield developers have difficulty using financial leverage (e.g. debt) because
brownfield appraised value is generally low, and banks require lower loan-to-value
ratios to protect themselves from the risk of having to own and manage stigmatized
properties.
As a result, the equity requirement for brownfield redevelopment is high. High
equity requirements combined with increased expenses due to remediation costs often
lead to low return on investment. Another hurdle specific to brownfield transactions is
that other dilapidated sites frequently surround individual brownfield sites. Successful
redevelopment of an individual brownfield site is often contingent upon developing a
master plan for an entire area, which may require the development team to buy
adjacent sites from multiple owners. The complexity of dealing with multiple sellers
adds to the risk inherent in brownfield development projects. In some cases, buying
additional surrounding parcels is the only way for the project to offer the potential to
generate, on a blended basis, enough gain to offset the risks and costs associated with
the core contaminated parcel(s).
However, as more property is acquired on the perimeter of a contaminated site,
the investor assumes greater assembly and market risks. For example, with a smaller,
core contaminated parcel, a revitalization effort hinging on future market acceptance
and absorption is less risky than investing in a geographic so large that the future
transformed region would need to be significantly deeper to accommodate the newly
created supply in the marketplace. Urban regeneration can affect the urban
environment at many levels. The preservation of the city's identity, community, local

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culture and natural and built environments, must be given special attention in the
process of renewal. Urban regeneration modifies not only the physical form of the
urban environment but also transforms the way in which it is perceived and
experienced, and the psychological and emotional relationships between humans and
urban places. Diversity and continuity appear to be essential components of the urban
environment which must be preserved in the process of urban regeneration. Urban
regeneration can lead to the dissolution of urban communities and the loss of
proximity to friends and relatives and the existing social network.
Conclusion
The problems of urban decay and brownfields can be greatly alleviated by creating a
rational economic framework in which the private sector may operate, respond and be
guided by well-considered, typically local, public decisions for prioritization of
private-sector driven site cleanup. In an unsubsidized setting, market economics drive
the cleanup decisions of these challenging sites. With public guidance, private forces
can operate efficiently to produce revitalization in places where communities most
need it, but where without such public incentive, revitalization may not occur.Urban
regeneration in its original form has been called a failure by many urban planners and
civic leaders, and has since been reformulated with a focus on redevelopment of
existing communities. Over time, urban regeneration evolved into a policy based less
on destruction and more on renovation and investment, and today is an integral part of
many local governments, often combined with small and big business incentives. But
even in this adapted form, in many cities in the world, urban regeneration projects are
still widely accused of abuse and corruption.
Malaysia road map towards implementing urban regeneration efforts is still a
long way ahead. Infact, our efforts have just begun. The organizing of this conference
is a step forward in the process of consulting and gathering more ideas from the
experts, professionals as well as the public. We will definitely embark on more
consultation and provide more channels for proposals and suggestions from the
communities and stakeholders. Municipal officials and urban residents increasingly
fight suburban sprawl by encouraging development of urban sites. Communities are
supporting redevelopment of in-fill sites they previously avoided due to uncertain or
complicated environmental issues. Although challenges remain, federal, state and
local governments and private groups are collaborating to explore creative ways to
remediate environmentally impaired sites.
In spite of the various challenges, the successes of the previously mentioned
regeneration efforts serves to strongly evidence that brownfield sites still have
potential if broad community support exists to restore them, and creative development
teams can structure the transactions to maximize the customarily low return.
Brownfield investors and developers must think creatively about ways to complete a
transaction that appears upside-down (i.e., higher cost than potential sale/exit value),
using tools such as private equity funding, environmental insurance, public-private
partnerships, tax relief financing and other public financing components. Public

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financing helps lower the capital cost and thereby increase returns. Simply put, public
incentive for private activity is necessary to remediate and revitalize the thousands of
brownfield sites nationwide. Together, a private company can shoulder the investment
and liability of clean up, while the host community receives the environmental
benefits of a cleaned site and the community and economic benefits of revitalization.
Finally, ultimately the successful implementation of urban regeneration efforts shall
lie on the effective cooperation and collaboration of all parties that are directly and
indirectly involved in this strategy. As we drive development efforts in new areas as
well as revitalize old inner cities, we address development in a coherent manner,
complementing each other towards quality living and sustainability.
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