What are illegal factories? Simply put, they are factories built without following local government building guidelines. For example, they may lack proper setback allowances or fail to meet building specifications. Of course, this building could not obtain the Certificate Of Completion And Compliance (CCC).
There are many illegal factories, especially in Klang and Sungai Buloh.
Question: Is it worth it?
Answer: Illegal factories can’t get insurance coverage, which deters many potential tenants from renting the space. This greatly affects demand, and the ROI for the landlord will be substantially limited. Thus, rental rate psf is much lower than a factory with Certificate Of Completion And Compliance (CCC).
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