PERBADANAN PENGURUSAN ARA AMPANG PENTADBIR TANAH DAERAH HULU LANGAT

PERBADANAN PENGURUSAN ARA AMPANG PENTADBIR TANAH DAERAH HULU LANGAT

The acquisition authority must pay reasonable compensation to the management corporation for common property acquired in the same process after parcel owners are compensated; however, on the facts of this case compensation is appropriate for the income-earning and potential income-earning car parking bays only (not vacant open space), and the Land Administrator's award is to be increased by RM685,040 with 5% p.a. interest from the date of Borang K until full realisation, plus costs to the applicant.

Citation
BA 15-210-10/2019 (Mahkamah Tinggi)
Parties
Appellant (management Corporation): Perbadanan Pengurusan Ara Ampang; Respondent (land Administrator): Pentadbir Tanah Daerah Hulu Langat
Court
High Court
Jurisdiction
Malaysia
Judgment Date
24 March 2021
Case Number
BA 15-210-10/2019 (Mahkamah Tinggi)
Procedural Posture
Land Reference (high Court) / Judgment/decision
Outcome
Land Administrator's award varied: increased by RM685,040 to compensate management corporation for car parking bays; interest at 5% per annum from date of Borang K until full realisation; other items of award by Land Administrator to remain; Respondent to pay Applicant's costs of Land Reference.
Legal Topics
Compulsory Acquisition, Compensation, Common Property, Management Corporation Rights, Market Value, Valuation Methods, Double Counting
Source Language
Malay/English

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Parties

Perbadanan Pengurusan Ara Ampang

Appellant (management Corporation)

Pentadbir Tanah Daerah Hulu Langat

Respondent (land Administrator)

Procedural Posture

Land Reference (high Court) / Judgment/decision

  1. 1 Whether an acquisition authority may compulsorily acquire common property in a strata development without paying compensation to the management corporation after compensating parcel owners
  2. 2 Whether value of common property is encompassed in compensation paid to parcel owners (double counting)
  3. 3 Appropriate valuation basis for common property (including parking bays) under Land Acquisition Act First Schedule provisions

Ratio Decidendi

The acquisition authority must pay reasonable compensation to the management corporation for common property acquired in the same process after parcel owners are compensated; however, on the facts of this case compensation is appropriate for the income-earning and potential income-earning car parking bays only (not vacant open space), and the Land Administrator's award is to be increased by RM685,040 with 5% p.a. interest from the date of Borang K until full realisation, plus costs to the applicant.

Court Disposition

Land Administrator's award varied: increased by RM685,040 to compensate management corporation for car parking bays; interest at 5% per annum from date of Borang K until full realisation; other items of award by Land Administrator to remain; Respondent to pay Applicant's costs of Land Reference.

Orders

  • Increase Land Administrator's award to Applicant by RM685,040
  • Interest on RM685,040 at 5% per annum from date of Borang K until full realisation