KUALA LUMPUR, March 6 — The master developer of the Bandar Malaysia project has said it will start carrying out groundwork for the planned multi-billion-ringgit new township.
Tan Sri Lim Kang Hoo, whose Iskandar Waterfront Holdings (IWH) is part of a joint consortium with China Railway Engineering Corp (CREC) acting as Bandar Malaysia’s master developer, reportedly said the initial funding of RM10 billion for the project is already ready.
Lim, who is vice-chairman of IWH, said all that remains before groundwork can start is the tying up of “two or three loose ends” with the governments of Malaysia and China in the weeks to come.
“Meeting the conditions, such as approvals from Bank Negara for overseas loans and the degazetting of the land, has been very time-consuming. But we are almost there,” he was quoted telling Singapore daily The Straits Times (ST) last week in a report published today.
The IWH-CREC consortium owns a 60 per cent stake in Bandar Malaysia with its successful 2015 tender bid at RM7.41 billion, while the Malaysian government holds a 40 per cent stake in the project.
Following the acquisition, Minister in the Prime Minister’s Department Datuk Abdul Rahman Dahlan was forced in October last year to assuage fears that 1Malaysia Development Bhd had sold the majority of Bandar Malaysia land to Chinese firms.
With 10 per cent down payment already paid, Lim said the consortium will pay the rest of the tender amount in the months ahead after the resolution of bureaucratic matters.
Bandar Malaysia, which is located on the Sungai Besi air force base, will also be the site of the Kuala Lumpur terminal for the Kuala Lumpur-Singapore high speed rail link.
According to the ST report today, the consortium will take ownership of one-third of the Bandar Malaysia site during the first phase of the project, while the rest will be transferred over the coming two years after the relocation of military facilities.
According to an advertisement last October for interested developers by IWH-CREC and Ministry of Finance Inc, the Bandar Malaysia project on the 486 acres of land is expected to see office buildings, hotels, serviced apartments, condominiums, retail and theme parks being built.
It will also reportedly be a financial hub, medical and international education hub, a regional hub for multi-national corporations, an international forum centre, affordable housing, as well as a central park covering 40 acres of land.
Local daily The Star had previously reported Bandar Malaysia’s gross development value to be estimated at RM200 billion with an estimated project timeline of 20 to 25 years over three or four phases.
