The Department of Veterinary Services (DVS) established a subsidy programme to build low cost swiftlet houses, under the auspices ofthe eKasih programme. This programme is aimed at aiding entrepreneurs in the swiftlet industry to produce good qualitybird’s nests. In 2013, eleven swiftlet houses under eKasih Program in Johor, Perlis and Pahang were chosen randomly to be evaluated after a year of completion. The main factors affecting its functionality, such as temperature, relative humidity and light intensity inside the swiftlet houses were recorded and analysed. The results showed that most of the eKasih swiftlet houses built under this programme did not meet the recommended in house conditions due to several reasons. The houses built in this programme failed to attract the birds into the houses to build nests. Although there were some houses that produced bird’s nests, it was found to be substandard in terms of quality. Thus, this study revealed the importance of various factors needed for the successful establishment of swiftlet houses to produce good quality bird’s nests.