KOTA KINABALU, Sept 27 — Nestled beside modern developments like Imago Shopping Centre and Sutera Avenue, the historic Sembulan water village has long been a landmark in the city. However, its once vibrant pre-war charm has deteriorated, with dilapidated stilt houses now branded as an "urban slum" and "criminal hotspot."

Despite multiple attempts at revitalization, including a 2022 tourism project aimed at transforming it into an Instagram-worthy destination, progress has stalled. In May 2024, a revised urban renewal scheme was approved, but uncertainty remains as tenants and migrant communities clash with authorities over land rights and expiring leases. 

City Hall issued eviction notices to residents, sparking tensions and a fight for compensation. While demolition has been postponed until October 8 for further talks, residents, led by their chairman Osman Omar Khan, insist they deserve either lease renewal or fair compensation.