The level of satisfaction with the residential environment affects the quality of life. Thus, the aim of this paper is to measure the quality of life in the current low-cost residential environment under the management of City Hall Kuala Lumpur (CHKL). A questionnaire survey was distributed among occupants of public low-cost residential. The findings indicate that the quality of life is measured using objective and subjective indicators. Generally, occupants of the lower-cost residential are satisfied with the physical design element but are unsatisfied with the physical environment elements.

The Malaysian government has implemented a housing strategy of constructing low cost housing for lower income groups. During the economic decline within the late 1997, the four-tier pricing system for PPR schemes in metropolitan areas and major towns for the resettlement of squatters was implemented to ensure citizens, particularly lower income groups to continue to have advantages of affordable and quality housing (Ai Tee and Ahmad, 2012). This four-tier pricing system was created due to the economic recession in the late 1997. However, it is important to ensure that this system is able to create a harmonious society. Shiud (2004) highlighted that 32.7 per cent of the households in Kuala Lumpur have monthly incomes of less than Ringgit Malaysia (RM) 2,000 whereby 19.9 per cent have monthly incomes of less than RM 1,500 in the year 2002. This portray that 32.7 per cent of households in Kuala Lumpur can only afford to buy a low cost house.