Prioritizing Solutions to Mitigate Abandoned Housing Projects: Insights from AHP Analysis in Malaysia
Authors: Ariffin Nur Farhayu , Salam Saidah An’nisaa , Ali Mohamad Idris , Ramli Noram Irwan , Jamaludin Omar 
Published: May 2024

Introduction

The issue of abandoned housing projects is a persistent global concern that brings about detrimental impacts on various fronts, including stakeholders, the economy, and sustainability. In Malaysia, this problem has been prevalent since the 1970s, and despite the government's concerted efforts through incentives, policies and laws, the numbers of abandoned projects continue to rise. The incomplete nature of these housing projects poses risks to the surrounding environment, has social ramifications, and negatively affects the national economy. The consequences of abandoned housing projects extend directly to homebuyers, who emerge as the primary victims. These individuals face the disappointment of unfulfilled aspirations to own a property, coupled with the prolonged commitment to rental arrangements. The persistence of this issue underscores the urgency of finding effective and sustainable solutions to mitigate the impacts on individuals, communities and the broader economy.

Aims

This study's objectives are to identify and analyze the various factors that contribute to the prevalence of abandoned housing projects in Malaysia. Beisdes, a comprehensive set of solutions and strategies is proposed to address the identified contributing factors as well as prioritize solutions aimed at preventing abandoned housing projects in Malaysia.

Methods

The study employs a multi-faceted research approach, leveraging insights from three key sources: an expert panel consisting of 10 industry experts, comprehensive literature reviews, and a questionnaire survey. Through this triangulation of data, the study identifies six critical factors, associated sub-factors, and suitable solutions pertinent to the issue of abandoned housing projects in Malaysia. A qualitative research approach is adopted, engaging various stakeholders crucial to the housing development sector, including developers, contractors, consultants, and local authorities. Their perspectives contribute to a well-rounded understanding of the challenges and potential solutions. Solutions are specifically paired with corresponding factors, aligning with the unique roles and responsibilities of each stakeholder group. The analytical framework for the study involves the use of the Analytical Hierarchy Process (AHP). This method facilitates the establishment of a pairwise relationship between factors and solutions related to abandoned housing projects in Malaysia. The AHP analysis adds a quantitative dimension, allowing for a systematic and structured evaluation of the relative importance and priority of each factor and its corresponding solution. By integrating insights from expert panels, literature reviews, and stakeholder engagement, and employing a rigorous analytical method like AHP, the study endeavors to provide a robust and nuanced understanding of the challenges surrounding abandoned housing projects and proposes practical solutions for the Malaysian context.

Results

The study's findings reveal a hierarchy of factors contributing to abandoned housing projects in Malaysia. The primary factor identified is financial, indicating that challenges related to funding play a pivotal role in project abandonment. Following closely are project participant factors, project management factors, market signals, procurement factors, and external factors. Furthermore, for the suitable solution, developers facing financial difficulties should proactively seek alternative funding solutions to address their financial challenges. One suggested approach is the utilization of developer community cooperation funds. This recommendation reflects a collective effort within the development community to provide financial support and mitigate funding-related issues.

Conclusion

The resulting ranking offers valuable insights and prioritization, empowering stakeholders to proactively anticipate project challenges and implement solutions to mitigate the occurrence of abandoned housing projects. These findings provide valuable insights for stakeholders involved in the housing development sector, offering actionable stakeholders involved in the housing development sector, offering actionable recommendations to address the root causes of abandoned housing projects in Malaysia. The emphasis on financial preparedness, collaborative funding approaches, and strategic planning aligns with a proactive and multifaceted approach to mitigate the challenges associated with abandoned housing projects.