Joint Venture Modes in the Development of Waqf Properties

Mohammad Tahir Sabit

2007/2008

Universiti Teknologi Malaysia

Financing of waqf lands development

·       Joint ventures – mudarabah or musharakah mutanaqisah

·       Issues of ownership of waqf land post development, as opposed to ownership of building

Legal impediments

·       Malaysia – non transferability of waqf lands under the respective State Islamic Administration Enactments

·       NLC – Torrens system – buildings on land recognized as part of land

Solutions

·       Setting up of a Waqf Holdings Corporation as a body corporate to carry out the transactions

Licence of land coupled with equity in building