The Selangor state government has identified a significant governance gap affecting hundreds of residential developments, with 310 strata schemes encompassing 35,817 housing units currently operating without either a joint management body (JMB) or management corporation (MC). The revelation, made during the state assembly sitting in Shah Alam on August 12, underscores mounting challenges in managing high-rise residential complexes across the state, particularly as urbanisation accelerates and apartment living becomes increasingly common among Malaysian homeowners.

Datuk Borhan Aman Shah, chairman of the Selangor housing and culture committee, attributed the absence of functional management structures primarily to consistently poor maintenance fee collection, insufficient building governance, and limited owner engagement. The combination creates a troubling scenario where common facilities deteriorate without proper oversight, financial resources dwindle, and disputes among residents fester unresolved. This pattern reflects broader structural issues within Malaysia's strata management sector, where the voluntary nature of owner participation often collides with the complex administrative demands of multi-unit residential properties.

The implications for residents in these 310 buildings extend beyond mere administrative inconvenience. Without proper JMBs or MCs, owners lack a formal mechanism to collectively address maintenance issues, resolve disputes, or enforce building standards. Water leaks, electrical faults, lift breakdowns, and security concerns can accumulate without coordinated intervention. Property values in such buildings frequently decline as conditions deteriorate, directly impacting the wealth of individual residents and the broader housing market across Selangor, Malaysia's most populated state after Kuala Lumpur.

For Malaysian context, this challenge is particularly acute in Selangor, which has witnessed explosive residential development over the past two decades. The state's rapid urbanisation has created thousands of apartment blocks and condominiums, many developed during periods of regulatory flux or inconsistent enforcement. Developers occasionally hand over projects to residents without ensuring proper JMB or MC formation, leaving unit owners without clear governance pathways. Some developments face protracted disputes with builders over outstanding defects, making resident-led management impossible until these conflicts resolve.

The state government's response focuses on three complementary strategies moving forward. First, it intends to strengthen enforcement of the Strata Management Act 2013, the primary legislation governing strata-titled properties in Malaysia. This signals recognition that voluntary compliance has proven insufficient and that regulatory teeth must be applied more rigorously. Second, Selangor plans to enhance the capacity of existing JMBs and MCs through targeted training programmes, professional courses, and structured engagement sessions. Many existing management bodies struggle with financial management, contract negotiation, and vendor oversight—skills that require systematic development rather than assumed knowledge.

Third, the state proposes implementing a star-rating system to benchmark building management efficiency. Similar to hotel or restaurant ratings, this approach creates public accountability and competitive incentives for better performance. Buildings receiving higher ratings would theoretically attract better-quality residents and command premium valuations, while lower-rated developments would face market pressure to improve operations. Such transparency mechanisms represent a modern governance approach gaining traction across Southeast Asian cities facing similar strata management challenges.

The role of the Commissioner of Buildings (COB) deserves particular attention in resolving this crisis. Under the Strata Management Act, COBs possess authority to appoint professional property agents to manage problematic strata schemes when resident-led governance fails. Selangor assembly member Rajiv Rishyakaran raised this point directly, questioning why this power had not been exercised more extensively. The state government acknowledged that many problematic schemes involve unresolved handover disputes with developers or interpersonal conflicts among residents, situations requiring COB intervention and mediation expertise before external management becomes necessary.

These unresolved developer disputes represent a critical underlying issue often overlooked in policy discussions. When builders fail to rectify defects, honour warranties, or properly transfer assets to residents, property owners understandably hesitate to establish formal management structures that might implicate them in inheriting ongoing disputes. This creates perverse incentives where disorder serves as a holding pattern while everyone awaits developer accountability—a strategy that backfires as buildings deteriorate and cost multiplies.

The establishment of a dedicated action committee signals that Selangor recognises the urgency and complexity of the problem. Effective solutions require coordination between multiple stakeholders: state housing regulators, municipal authorities, the COB, developer representatives, resident associations, and professional property management firms. Solutions cannot be imposed top-down but must accommodate the legitimate concerns and varied circumstances of different communities. Some struggling schemes genuinely need external professional management, while others require conflict resolution support and owner education before resident-led governance becomes viable.

For Malaysian homeowners, particularly those in Selangor's booming residential market, this issue should inform purchasing decisions and ongoing engagement. Prospective buyers should investigate whether potential properties have established, well-functioning JMBs or MCs, and whether developers have completely resolved handover issues. Existing residents in unmanaged schemes should seek clarity about formation timelines and actively participate in establishing governance structures. Delayed action in these cases typically compounds problems exponentially.

The broader national context matters here too. Strata management challenges appear not unique to Selangor but rather symptomatic of Malaysia's rapid urbanisation outpacing regulatory and administrative capacity. Other states face comparable issues, suggesting that Selangor's intervention strategy could serve as a template for national improvement. The star-rating system, enhanced COB authority, and professional development initiatives proposed here address root causes rather than merely symptoms, positioning Malaysia's strata sector for more sustainable, transparent management practices moving forward.

Selangor's commitment to continuous dialogue and solution-finding acknowledges that this challenge will not resolve quickly through single interventions. Building functional governance requires sustained effort: education campaigns for residents, professional development for management leaders, streamlined dispute resolution mechanisms, and market incentives rewarding better performance. Over months and years, these complementary approaches should gradually improve conditions across the 310 struggling schemes and prevent similar problems in future developments.