In the years following Malaya's independence, the Penang state government expressed interest in developing low-cost public housing. This brought the state government into conflict with the George Town City Council over the provision of affordable housing within the limits of George Town.[4] In 1969, the Penang Development Corporation (PDC) was formed under the direction of newly elected Chief MinisterLim Chong Eu, partly to address the issue of urban overcrowding within the city.[5]
As part of the solution, Macallum Street Ghaut (ghat) was designated one of the four Comprehensive Development Areas (CDA) in the city proper.[5] The PDC planned to reclaim 20.2 hectares (50 acres) off Macallum Street to build inexpensive European-style apartment blocks to house residents displaced by the concurrent Komtar project nearby.[1][5] The Macallum Street Ghaut flats were the first public housing project undertaken by the PDC, to be followed by similar projects at Kedah Road and Bayan Baru.[1]
By 1985, three 22-storey blocks and two 12-storey blocks containing a total of 1,469 residential units were completed.[1] In total, seven apartment blocks were constructed and remain a major inhabited residential pocket at the periphery of George Town's UNESCO World Heritage Site, in spite of the continuing depopulation of the city centre.[2][3]
^Penang Past and Present, 1786-1963. George Town: George Town City Council. 1966. pp. 98–99.
^ abcJenkins, Gwynn (2008). Contested Space: Cultural Heritage and Identity Reconstructions : Conservation Strategies Within a Developing Asian City. LIT Verlag Münster. ISBN9783825813666.
Below are the major city suburbs, neighbourhoods, ethnic enclaves and islets within Northeast Penang Island, where George Town, the capital city of the State of Penang, is located.