Unveiling Success Factors of Strata Waqf Development: Evidence from Penang, Malaysia

The strata waqf scheme is an innovative approach to waqf properties which are owned by individuals or organizations under the concept of waqf. Penang is the first state in Malaysia which successfully implemented this scheme. However, the development process of the strata waqf scheme differs from conventional strata schemes due to distinct legal and procedural requirements. The aim of this study is to identify the processes of strata waqf scheme development and factors that influence the success of strata waqf scheme development in Penang. A qualitative study was conducted through interviews with the stakeholders and analyzing with thematic analysis. The findings of the study found that clear legislation and governance, growth economic and technology incorporation are essential for successful waqf development. Furthermore, economic conditions have a direct impact on the viability of waqf land development, therefore both the public and private sectors must be involved. However, the implementation of strata waqf scheme development remains limited in Malaysia. Given Penang's success, similar development might successfully introduce a strata-based development strategy throughout Malaysia that satisfies the requirements of the population while ensuring a practical and sustainable approach to waqf land.