The development of Malay reserve land is a nationwide issue which can be overcome through better understanding of the existing barriers. While many barriers have been examined, the challenges relating to land owner expectations and preferences has not been thoroughly examined. Using Kg Sungai Penchala in the capital city Kuala Lumpur as a case, this research used a structured interview survey of 258 respondents representing both owners and tenants. Statistical analysis demonstrates that majority of the land owners (individuals) rejected the idea to further develop the land. The land owners preferred to maintain the village status quo and they were satisfied with the current development level in the village. Only a minority of respondents agreed that the land should be developed and instead perceived that re-development of this Malay Reserve Land of Kg Sungai Penchala would be able to raise their quality of life. The restriction is much preferred by the land owners who preferred the current style of village living. Thus, immediate re-development of the area is not warranted and the preference of the land owners represents a strong barrier.