Decision on Bandar Malaysia master developer ‘soon’

By D KANYAKUMARI

The government is expected to announce the parties who will be the master developer of the multibillion Bandar Malaysia development “very soon”.

Treasury Secretary General Tan Sri Dr Mohd Irwan Serigar Abdullah (picture), however, said he could not reveal details of the project.

“Coming soon, coming soon,” he told The Malaysian Reserve when asked about the developers which would undertake the project on the site of the former Sungai Besi air base in Kuala Lumpur (KL).

In August this year, Mohd Irwan said that six companies were interested to be the developers of the project.

He was reported as saying that all six companies were taken for a site visit and were asked to submit a proposal by the end of the same month.

Mohd Irwan who is also the TRX City and Bandar Malaysia chairman said the selected candidate must be a Fortune 500 company; have a cumulative revenue over three years of RM50 billion from the entire value chain of real estate and associated business; and have experience in international real estate development projects.

Bandar Malaysia, a 196.7ha development, sits on prime real estate in Sungai Besi at the edge of downtown KL and is five times the area of the iconic KL City Centre project, together with its large park.

The Bandar Malaysia project has been in the spotlight since the Finance Ministry announced on May 3 that the deal for the purchase of 60% of the project had lapsed due to the buyers, Iskandar Water- front Holdings Sdn Bhd and China Railway Engineering Corp, having failed to meet their payment obligations.

Meanwhile, Mohd Irwan also said the government still subsidises up to RM200 million weekly despite the new fuel price mechanism.

“The government still subsidises and we do not want to burden the rakyat too much, so we subsidise for certain periods when it (price) goes up too high,” he said when met after a conference. He said the government’s subsidy is the reason why there is an obvious fluctuation in the fuel price.

“I think we still (subsidise) a few hundred million per month. That’s why sometimes you see the price increase spiking.

Mohd Irwan also hinted that there may be no or less subsidy in the future.

“As for the future, I don’t know. I don’t think we will still subsidise. Even if we do, it won’t be that much,” he said.