Published: Thursday September 6, 2012 MYT 6:55:00 PM
Penang council to sell 17 properties, piece of land via open tender
By DAVID TAN
GEORGE TOWN: Seventeen properties and a piece of land belonging to the Penang Municipal Council (MPPP) on the island are to be sold through open tender at a reserved price of RM18.6mil.
State Local Government and Traffic Management Committee chairman Chow Kon Yeow said the land and properties had a total land area of 0.8ha.
The land is a 0.4ha site in Jalan Sultan Azlan Shah, while the rest are three retail lots in Prangin Mall and 14 pre-war landed properties in Jalan Hutton, Lebuh Kimberley, and Jalan C.Y. Choy.
High maintenance cost incurred for the retail and pre-war properties and the need to raise funds for land purchase were among the reasons for the planned sale, said Chow. “The proceeds raised from the sale would go towards funds to acquire new land,” he said.
Chow added that the MPPP planned to acquire two plots of land in Balik Pulau and Jalan Masjid Negri and a market-cum-hawker complex in Teluk Kumbar and in Batu Ferringhi totaling 7.89ha for RM40mil.
“The land in Balik Pulau, measuring 10,291sq ft, is planned for a recreational park, while the 0.8ha site in Jalan Masjid Negri is for a road widening project,” he said.
Chow said seven plots of land in Lebuh Union, Jalan Burmah, Jalan Hamilton, Jalan Kuala Kangsar, Lebuhraya Batu Lanchang, Jalan Cheesemen and Jalan Free School, and two condominium units in Pesiaran Gurney totalling 3.6ha had been sold since 1990 for RM29.4mil.
“Some RM44.1mil has also been spent on acquiring six plots of land totalling 117.6ha on the island for the development of community parks, public markets, landfills, access roads, and car parking bays,” he said.
On state Barisan Nasional Youth chief Oh Tong Keong's recent statement that Penang Chief Minister Lim Guan Eng might one day sell off Komtar and that Penang land was not for cheap sale, Chow said the bulk of Komtar had already been sold off.
Chow said about 60% of the Komtar Urban Redevelopment Project had been sold to private developers since 1983.
He said the site occupied by Traders Hotel was sold to Komtar Hotel Sdn Bhd in 1983, and a plot of land at the corner of Jalan Penang and Jalan Dr Lim Chwee Leong was sold to Metrojaya Sdn Bhd in 1990.
“The sites currently occupied by the Prangin Mall and 1st Avenue shopping malls were sold to Idris Hydraulic Properties Sdn Bhd in 1995.
“Thus the bulk of Komtar has already been sold,” he told a press conference yesterday. Also present was Komtar assemblyman Ng Wei Aik.
Chow said the Penang Development Corporation (PDC) still owned 42.95% of Komtar Tower, and 37.59% of the Komtar podium.
“The rest of the Komtar Tower was sold to state and federal government agencies, and the remainder of the podium to retailing businesses.
“PDC also owns the 1.8ha site of Phase 5, which has been designated for the Penang Heritage Square project,” he added.
Chow added that the sites occupied by Prangin Mall and First Avenue shopping malls were slated in the 1970s by the state government then for affordable housing projects.
“The plan for the two sites was to build two 17-storey blocks of affordable housing units, which never materialised,” he said.