Converting Agriculture Land for development
- Futurist land surveyor
- Sep 29, 2020
- 1 min read
Updated: Oct 12, 2020
Before you purchase a land,you must always ask what is the purpose of the land ? If you wish to develop the land in question. What is your vision for the land development to be ? To make the development a reality. Another question should be asked. How to do I convert this land use to the intended development ? E.g. Converting a Agriculture land to Residential. A factor to consider is the conversion premium rates.
Premium rate are as below and may differ for different areas:-
From Agriculture to Residential = 15%
From Agriculture to Commercial = 30%
From Agriculture to Industry = 20% - 30% depending on type
From Residential to Commercial = 15%
From Industry to Commercial = 10%
The rates are based on the valuation of land that you intend to be converted. The value of the land will be determine by States valuation department (Jabatan Penilaian dan Perkhidmatan Harta) not by the value you paid for.
An example of details can be found below :-
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