By IZZAT RATNA

Bukit Bintang City Centre Development Sdn Bhd (BBCC Development) is talking with foreign companies to co-develop parts of its mixed development in Bukit Bintang, Kuala Lumpur (KL).

The first phase of the project has a gross development value (GDV) of up to RM4.5 billion comprising hotels, apartments and offices.

BBCC Development CEO Datuk Richard Ong Kek Seng said the company is talking to companies from Japan, Singapore, Australia and the UK.

“However, we are still in the negotiation process with potential companies for the joint venture (JV) and we are looking to finalise the partnership agreement by end of this year,” he said yesterday.

Ong said BBCC Development is working closely with the government and alliances from all over the world to come up with the vibrant property development project.

He said BBCC Development is also expected to launch another block of serviced apartments comprising 270 units with an estimated GDV of RM300 million by the third-quarter of 2017.

Since its official launch in December 2016, BBCC Development has launched the first block of serviced apartments with 393 units and a strata office block with 341 units, Ong said.

The first phase of development consists of the RM1.6 billion Mitsui Shopping Park LaLaport KL (LaLaport KL), a proposed 130,064.256 sq m lifestyle mall in the heart of BBCC, which will be developed within an estimated 8ha of land.

Other components include a four-star hotel, one strata office and two blocks of serviced apartments, which account for about 50% of the total built-up area of BBCC. The development officially entered the construction period, following the groundbreaking ceremony yesterday, and is slated for completion over a span of the next four to five years.

Located in Jalan Hang Tuah, BBCC is touted as a significant national-level development due to its ability to attract foreign investors into the country and is expected to become KL’s new lifestyle and architectural icon.

Ong said the next phase of the development would commence a few years after the completion of the first phase.

“There is no definite time- line for the second phase of development but we reckon the total project will be completed within the next seven to eight years,” he added.

In October last year, BBCC entered into a JV with Mitsui Fudosan Asia for the establishment, ownership, management and operation of a JV company MFBBCC Retail Mall Sdn Bhd that will own and operate the retail mall at BBCC.

The agreement sees Mitsui Fudosan Asia owning 50% of the shares in the JV, while the remaining 50% stake is owned by shareholders of BBCC Development, UDA Holdings Bhd, Eco World Development Group Bhd and the Employees Provident Fund board.

Ong said the existing strategic partners with BBCC Development and the upcoming JV partnership with other key developed countries are expected to help spur tourist traffic in the country, which in turn will benefit the overall economic growth.

The groundbreaking ceremony yesterday was witnessed and officiated by Prime Minister Datuk Seri Mohd Najib Razak.

In his keynote address, Najib who is also finance minister, said the BBCC development is a significant national-level development as it is a successful example of the kind of public-private collaboration between different entities, which supports the government’s focus under the Economic Transformation Programme throughout the Klang Valley.

“This is aligned with the country’s aim to have 36 million tourist arrivals and RM168 billion tourist receipts by the year 2020, since the tourism sector is a key pillar of the economy, generating huge benefits and significant job creation,” he added.

BBCC sits on a 7.85ha of land with a total gross built-up area of 622,450 sq m with a total GDV of RM8.7 billion, which comprises a retail mall, an entertainment hub and five blocks of serviced apartments.

It will also have a four-star hotel, two blocks of strata offices and an 80-storey three-in-one signature tower housing corporate offices, a five-star hotel and luxury residences.