Companies who have invested in the Tun Razak Exchange (TRX) are seeking confirmation from the new government over its plans for the upcoming financial district, reported The Star.
This is because prior to the 14th General Election, the previous administration had promised that a number of state-owned companies will take-up space at TRX. But now these entities are mum on whether they will honour this commitment, as construction of major buildings there nears completion.
In fact, the Exchange 106 by Indonesia’s Mulia Group there is expected to be completed by September 2018. The 106-storey tower that will serve as the centrepiece of TRX is renting out premises for up to RM17 psf.
Another is the 27-storey Menara Prudential by IJM Corp. The building is targeted for completion by Q1 2019 and is presently being fitted out with 84 percent of the premises already leased out, mainly to private companies.
According to those involved in TRX’s planning and infrastructure, working is ongoing as usual since 9 May.
“There is no slowdown because infrastructure developments have deadlines to meet,” said an anonymous source.
As for the 17-acre Lifestyle Quarter in TRX being developed by Lendlease, work is still ongoing. But the Australian developer wants clarity on the new government’s plans for the financial district.
Lendlease “looks forward to working with the new government and will seek to engage with relevant ministries at the earliest opportunity,” it said on 20 May.
More importantly, the fate of TRX is expected to be among the important discussions at the Malaysia-Australia Business Council monthly meeting tomorrow (30 May).
“Many who invested in TRX came because they view Malaysia as politically stable. The country, as an investment destination, has had the same government for more than 60 years. The change in government has thrown up some interesting possibilities as far as TRX is concerned,” said a source.
“Kuala Lumpur is not a market that you build on the speculation. It would be unfortunate if (TRX) commitments are wound back.”
Image sourced from TRX.my
This article was edited by the editorial team of PropertyGuru. To contact them about this or other stories email editorialteam@propertyguru.com.my
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