Malaysia legislation
Section 40
Section 40
(a)
the estimate of the value of the land, building, or interest shall be based upon the fair market value thereof at the date of publication of the declaration under subsection 38(1), due regard being had to the nature and condition of the property, the probable duration of the building in its existing state, and the state of repair thereof, without giving any allowance in respect of the compulsory purchase or other matters; and
(b)
in such estimate any addition to or improvement of the property made after the date of publication of the declaration under subsection 38(1) shall not, unless the addition or improvement was necessary for the maintenance of the property in a proper state of repair, be included nor, in the case of any interest acquired after that date, shall any separate estimate of the value thereof be made so as to increase the amount of compensation to be paid for the land or building.
(2)
When assessing the compensation payable in respect of any house or premises, evidence shall be receivable by the court to prove—
(a)
that the rental of the house or premises was enhanced by reason of the house or premises being used for illegal
Town and Country Planning 83
purposes or being so overcrowded as to be dangerous or injurious to the health of the occupants;
(b)
that the house or premises are in such a condition as to constitute a nuisance or are in a state of defective sanitation or are not in reasonably good repair; and
(c)
that the house or premises are unfit and not reasonably capable of being made fit for human habitation, and, if the court is satisfied by such evidence, then the compensation—
(d)
shall, in the first case, in so far as it is based on rental, be based on the rental that would have been obtainable if the house or premises were occupied for lawful purposes and only by the number of persons whom the house or premises are, in all circumstances of the case, capable of accommodating without such overcrowding as is dangerous or injurious to the health of the occupants;
(e)
shall, in the second case, be the amount estimated to be the value of the house or premises if the nuisance had been abated or if they had been put into a sanitary condition or into reasonably good repair, after deducting the estimated expenses of abating the nuisance or putting the house or premises into such condition or repair, as the case may be; and
(f)
shall, in the third case, be the value of the land and of the materials of the buildings thereon.
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