SPEECH BY CHIEF MINISTER OF PENANG
DURING THE SIGNING CEREMONY BETWEEN
PDC & SYARIKAT TANJUNG VILLA DEVELOPMENT SDN BHD
ON THURSDAY 2ND JULY 2015
AT LEVEL 28, KOMTAR
I wish to congratulate PDC and Syarikat Tanjung Villa Development Sdn Bhd on this simple, but high impact social programme, signing ceremony for the development of 4.23 acres of land at Sandiland Foreshore for the purpose of providing affordable housing for the people as well as to alleviate the problem of 54squatter houses at the site.
In line with the State Government CAT (Competency, Accountability and Transparency) policy as well as to harness creativity and innovation of the private sector, PDC had invited Request for Proposal (RFP) for a joint development of 4.23 acres government land at Sandiland Foreshore, Jalan C.Y Choy, George Town.
The Request for Proposal was called on 21st July 2014 and on the closing date on 3rd September 2014, a total of nine (9) companies responded to the RFP. On 14th January 2015, the State Government approved the award of RFP to Syarikat Tanjung Villa Development Sdn Bhd for a tender amount of RM36 million. The total GDV of the project is RM245,675,000.00.
I am happy to note that the development components of this Sandiland project will comprise 482 units of Medium Cost Apartments (MC) and 321 units Low Medium Cost (LMC) and related commercial facilities, thus enhancing the provision of affordable housing in Penang.
The breakdown of the components are:
Medium Cost Apartments (MC)
- 241 units = 1000 sq.ft. (RM400,000)
b.161 units = 900 sq.ft. (RM300,000)
c. 80 units = 800 sq.ft. (RM200,000)
Low Medium Cost (LMC)
321 units = 700 sq.ft. (RM72,500)
The affordable units and LMCs will be provided with the specific criteria and guidelines for furnishings, amenities and services.
The maximum total built up for the commercial content will not exceed 90,014 sq.ft. The developer is also not allowed to set up SOHO, service apartment, business or medical suites and any other development which are similar to SOHO will not be allowed. The commercial development is also subject to the terms of the Council, State Government and Technical departments.
Syarikat Tanjung Villa will be required to provide at least one complimentary car park for each unit of the MC with an additional 10% allocation for visitors car parks, besides other stipulated arrangements for the allocation/sale of the car parks.
Syarikat Tanjung Villa at its own cost and expenses will undertake to resolve the following matters:
- Compensation to the residents, squatters, temples, shrines, offices, warehouses, buildings and other structures in the site
- Complete the proposed development/access route as stipulated by Council
- Hand over 150 units LMC and car parks (1:1 + 10%) free to the State Government
- Pay minimum RM700 rental to tenants until the completion of LMC
- Pay one-time minimum RM1,500 relocation cost to house owners
- Families, tenants, owners of warehouses/workshops and other family members are given the priority to buy units at no discounted price, and subject to the Jabatan Perumahan Negeri’s approval
vii.Responsible for repair and construction of temples and shrines at their own cost
viii.Pay compensation to the owners of warehouses and workshops based on the agreed amount
Syarikat Tanjung Villa will undertake to build, construct and complete the development within 5 years (60 months) from the date of this Joint Development Agreement.
I am confident that the development of this Sandiland Foreshore project will synergise with the surrounding developments i.e. at KOMTAR whereby PDC is embarking on a major revitalisation programme; the Penang Heritage Centre project at Komtar Phase 5 with a planned tallest man-made waterfall in the World; Macallum Street development as well as to the close proximity to the George Town World Heritage site.
This Sandiland Foreshore project will represent a benchmark to create viability and vibrance to the surrounding areas, while complementing Penang’s aspiration of a clean, green, safe and healthy environment.
LIM GUAN ENG