Pursuant to the National Land Code (Amendment) Act 2016, which came into force on 1 January 2017, prior approval of the State Authority is now required for the acquisition of all categories of land by 'foreign interest', inclduing foreign investors and majority-foreign owned entities established in Malaysia. Previously, 'foerign interest' acquisition of industrial land was exempted from such requirement. 'Foreign interest' acquisition of properties (including land) valued less than RM1 million per unit is prohibited; long-term leases (not exceeding 99 years) are possible for such cases.
"DIVISION I - PART ONE PRELIMINARY [...]
5.  Interpretation. [...]
"industrial purposes"  has the meaning assigned thereto by paragraph (a) of sub-section (1) of section 117
[...]
PART 3: RIGHTS AND POWERS OF THE STATE AUTHORITY - CHAPTER 2 - CLASSIFICATION AND USE OF LAND CLASSIFICATION [...]
USE OF LANDS ALIENATED UNDER THIS ACT  
52.  Categories of land use and application thereof to lands alienated under this Act. (1) For the purposes of this Act there shall be three categories of land use, to be known respectively as "agriculture", "building" and "industry" and, subject to sub-section (5), where any land is alienated under this Act- [...]
(b) the conditions to which the land becomes subject shall include accordingly- (i) such express conditions as may be imposed by the State Authority by virtue of section 121 or, as the case may be, 122, and (ii) such implied conditions as are applicable thereto by virtue of section 115, 116 or 117. 
[...]
DIVISION II - DISPOSAL OF LAND - PART FIVE - DISPOSAL BY ALIENATION - CHAPTER 1: INTRODUCTORY
76. Meaning of alienation.
The alienation of State land under this Act shall consist of its disposal by the State Authority-
(a) for a term not exceeding ninety-nine years;
[...]
DIVISION III - PART 7: CONDITIONS AND RESTRICTIONS IN INTEREST - CHAPTER 3 [...]
CATEGORY: BUILDING 
116.  Implied conditions affecting land subject to the category "building". 
(1) Where any alienated land is subject by virtue of any provision of this Act to the category "building", the following implied conditions shall, subject to sub-section (3), apply thereto- (a) that, unless on the relevant date such a building already existed on the land, there shall within two years of that date be erected thereon a building suitable for use for one or more of the purposes specified or referred to in sub-section (4); [...]
(4) The purposes referred to in paragraph (a) of sub-section (1) are the following- (a) residential purposes; (b) administrative or commercial purposes, or the purposes of passenger transport; (c) the purposes of exhibiting, selling by retail, repairing or otherwise dealing in any goods or commodities, or of providing any services; (d) the purposes of providing educational, medical, sanitary or other welfare facilities; (e) the purposes of entertainment, refreshment or recreation; 
[...]
CATEGORY: INDUSTRY
117.  Implied conditions affecting land subject to the category "industry". (1) Where any alienated land is subject by virtue of any provision of this Act to the category "industry", the following implied conditions shall, subject to sub-section (2), apply thereto- (a) that it shall be used only for industrial purposes, that is to say, for the purposes of the erection or maintenance of factories, workshops, foundries, warehouses, docks, jetties, railways or other buildings or installations for use for or in connection with one or more of the following purposes- (i) manufacture;   (ii) smelting; (iii) the production or distribution of power; (iv) the assembling, processing, storage, transport or distribution of goods, or other commodities; (v) such other purposes as the State Authority may prescribe for the purposes of this section by rules under section 14; 
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DIVISION IV - ALIENATED LANDS: DEALINGS - PART FIFTEEN - LEASES AND TENANCIES - CHAPTER 1 POWERS OF LEASING, ETC.
221. Power of proprietors to lease for terms exceeding 3 years.
(1) Subject to the provisions of sections 225 and 226, the proprietor of any alienated land may grant leases of the whole or any part thereof in accordance with the following provisions of this section.
(2) Every lease granted pursuant to this section shall be for a term exceeding three years.
(3) The maximum term for which any lease may be so granted shall be- (a) ninety-nine years if it relates to the whole of any alienated land, and (b) thirty years if it relates to a part only thereof.
[...]
DIVISION VI - GENERAL AND MISCELLANEOUS - PART THIRTY-THREE (A): RESTRICTIONS IN RESPECT OF NON-CITIZENS AND FOREIGN COMPANIES
433A. Interpretation. For the purposes of this Part-
"foreign company" means-
(a) a foreign company as defined in sub-section (1) of section 4 of the Companies Act 1965; 
(b) a company incorporated under the Companies Act 1965 with fifty per cent or more of its voting shares being held by a non-citizen, or by a foreign company referred to in paragraph (a), or by both, at the time of the proposed acquisition of any land or any interest in land or at the time of the execution of the instrument or deed in respect of any alienated land or any interest therein, as the case may be;
(c) a company incorporated under the Companies Act 1965 with fifty per cent or more of its voting shares being held by a company referred to in paragraph (b), or by a company referred to in paragraph (b) together with a non-citizen or a foreign company referred to in paragraph (a), at the time of the proposed acquisition of any land or any interest in land or at the time of the execution of the instrument or deed in respect of any alienated land or any interest therein, as the case may be.
433B. Non-citizens and foreign companies may acquire, etc., land only with approval of State Authority.
(1) Notwithstanding anything contained in this Act or in any other written law-[...]
(a) a non-citizen or a foreign company may acquire land by way of a disposal under Division II; [...] but only after the prior approval of the State Authority has been obtained upon an application in writing to the State Authority by such non-citizen or foreign company: Provided that no such approval shall be required in respect of-
(aa) any land or any interest in land which is subject to the category "industry" or to any condition requiring its use for industrial purposes [(deleted by Act A1516, which came into force on 1 January 2017; since then, prior State Authority approval is required for any acquisition of industrial properties by a non-citizen or foreigner.];[...]
(2) Where the State Authority grants any approval under sub-section (1) it may be made subject to such terms and conditions as may be specified by the State Authority and to the payment of such levy as may be prescribed." (National Land Code (Act 56 of 1965), PART 33(A))
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"II. APPLICATIONS
2. This Guideline shall apply to the following transactions:
2.1 All property acquisitions, except for residential units, that require approval of the Economic Planning Unit, Prime Minister's Department as follows: (a) direct acquisition of property valued at RM20 million and above, resulting in the dilution in the ownership of property held by Bumiputera interest and/or government agency; and (b) indirect acquisition of property by other than Bumiputera interest through acquisition of shares, resulting in a change of control of the company owned by Bumiputera interest and/or government agency, having property more than 50 percent of its total assets, and the said property is valued more than RM20 million.
2.2 All property acquisitions by foreign interest that do not require the approval of the Economic Planning Unit, Prime Minister's Department but fall under the purview of the relevant Ministries and/or Government Departments as follows: (a) acquisition of commercial unit valued at RM1,000,000 and above; (b) acquisition of agricultural land valued at RM1,000,000 and above or at least five (5) acres in area for the following purposes: (i) to undertake agricultural activities on a commercial scale using modern or high technology; or (ii) to undertake agro-tourism projects; or (iii) to undertake agricultural or agro-based industrial activities for the production of goods for export. (c) acquisition of industrial land valued at RM1,000,000 and above; and (d) transfer of property to a foreigner based on family ties is only allowed among immediate family members.
2.3 Acquisition of residential unit by foreign interest valued at RM1,000,000 and above. This acquisition, however, does not require the approval of the Economic Planning Unit, Prime Minister's Department but falls under the purview of the State Authorities.
III. CONDITIONS FOR ACQUISITION
[...] 4. Acquisition of property provided for in paragraphs 2.2 (a), (b) and (c) are also subject to the condition that the said property must be registered under a locally incorporated company.
[...]
VI. RESTRICTIONS
10. Foreign interest is NOT ALLOWED to acquire:
10.1 Properties valued less than RM1,000,000 per unit; 
10.2 Residential units under the category of low and low-medium cost as determined by the State Authority; 
10.3 Properties built on Malay reserved land; and 
10.4 Properties allocated to Bumiputera interest in any property development project as determined by the State Authority.
[...]
XIII. DEFINITIONS
21. In this Guideline, except when the context requires otherwise:
foreign company: means a foreign company as defined in the Companies Act 1965. 
foreign interest: means any interest, associated group of interests or parties acting in concert which comprises: (a) individual who is not a Malaysian citizen; and/or (b) individual who is Permanent Resident; and/or (c) foreign company or institution; and/or (d) local company or local institution whereby the parties as stated in item (a) and/or (b) and/or (c) hold more than 50% of the voting rights in that local company or local institution.
[...]
APPENDIX I - EXEMPTIONS
1. The transactions listed below are exempted from requiring the approval of the Economic Planning Unit, Prime Minister's Department: [...] 1.2 Multimedia Super Corridor (MSC) status companies are allowed to acquire any property in the MSC area provided that the property is only used for their operational activities including as residence for their employees; 1.3 Acquisition of properties in the approved area in any regional development corridor by companies that have been granted the status by the local authority as determined by Government; 1.4 Acquisition of properties by a company that has obtained the endorsement from the Secretariat of the Malaysian International Islamic Financial Centre (MIFC); 1.5 Acquisition of residential units to be occupied as a hostel for company's employees. However, local companies owned by foreign interest are only allowed to acquire residential units valued at RM100,000 and above and this matter is under the jurisdiction of the relevant state authorities; [...] 1.7 Acquisition of industrial land by manufacturing company; [...]" (Guidelines on the Acquisition of Properties, Economic Planning Unit, Prime Minister's Department, 2014)
National Land Code (Act 56 of 1965), PART 33(A).
Guidelines on the Acquisition of Properties, Economic Planning Unit, Prime Minister's Department, 2014.
[<a href="https://lom.agc.gov.my/ilims/upload/portal/akta/LOM/EN/20201015_828_BI_WJW015175%20National%20Land%20Code%20Act%20828%20(Pewartaan).pdf">Act</a>],[<a href="http://www.epu.gov.my/en/en/sites/default/files/GP%2520EPUJPM%2520-%2520English%25202014.pdf">Guidelines</a>]