Developer: Exchange 106 expects 50p occupancy by end-2020

General view of The Exchange 106 in Kuala Lumpur December 8, 2019. — Picture by Hari Anggara
General view of The Exchange 106 in Kuala Lumpur December 8, 2019. — Picture by Hari Anggara

KUALA LUMPUR, Dec 8 — Mulia Property Development Sdn Bhd, the developer of Exchange 106 at the Tun Razak Exchange (TRX), targets to achieve 50 per cent occupancy rate for the tower by the end of next year.

Its general manager Patrick Honan said the company expected to get the full Certificate of Completion and Compliance (CCC) for the whole building in the coming weeks, allowing the tenancy process to proceed smoothly.

“We are lucky now, as after three years of construction, we will be achieving the full CCC within the coming weeks. Currently, we have partial CCC up to level 57, which enables us to have tenants filling up the tower, as well as getting the office space ready for occupation.

“Physically, we have done a hand over (ceremony) to two tenants to-date and the first tenant will be operating in the New Year,” he told Bernama.

The lower half of the building is now open for occupation by tenants.

According to the developer, the 106-floor building aimed to bring the energy and drive of international hubs like Canary Wharf, New York’s World Trade Centre towers and Shanghai’s International Finance Centre to this part of the world.

Standing at 492 metres, Honan said it is the tallest building in the country and the sixth tallest office building in the world.

“This tower has about 2.6 million square feet of space, which is equivalent to five office buildings, and the occupancy rate is picking up at the moment. We will be coming up to 20 per cent occupancy by the first quarter of 2020 and by the end of next year, we are expecting to increase this to 50 per cent.

“The good thing is we are part of the master plan development (of the TRX) where this is one of the many buildings. As that development matures, tenancy will pick up as well. We have the first tenant coming in 2020,” he said.

As for the rest of the developments including the TRX Mall which will be completed in the next two to three years, Honan said there would be fresh demand from potential tenants which would spark interest again in occupying the rest of the building.

The building is now open to potential commercial tenants, he said.

“Once the tenants begin their operations, the building will be open to the public,” he added.

On tenant mix, Honan said the tower has a mixed of multinational corporations and local conglomerates.

“Because of the way we design the building, the first batch that are coming in are those who seek larger floor spaces. We also have a couple of areas where we have smaller tenants coming in at the same time,” he said.

Meanwhile, Honan remained optimistic of the interest in Exchange 106 from potential tenants despite the tower having been taunted once before with 1Malaysia Development Bhd and the previous government scandals.

“Our focus in on constructing a beautiful building and producing a corporate home for our corporate tenants. The politics of the past, we don’t get involved. The interest level have been active all along, it’s just a matter of how our tenants timed themselves to move into the building.

“Everyone has move forward and the government is satisfied and fully supports the whole development. We have the full support from the government,” he added.

He said that among the “selling” points that would attract potential tenants was the various transportation connections that meet at the tower, allowing more people to travel to and from the area almost hassle-free.

“The good thing is, the mass rapid transit (MRT) connects directly into our building and we anticipate that a lot of the tenants in this building will be using the MRT, as well as the light rail transit and other public transportation services,” he said. — Bernama

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