Grand Opening of Rackson House and Signing of Hotel Management Agreement for Le Meridien Penang Airport
Speech by YAB Tuan Chow Kon Yeow
The Honourable Chief Minister of Penang
Grand Opening of Rackson House and Signing of Hotel Management Agreement for Le Meridien Penang Airport
05 January 2022
Yang Berhormat Steven Sim Chee Keong
Member of Parliament of Bukit Mertajam
Yang Berhormat Chris Lee Chun Kit
State Assemblyman for Pulau Tikus
Mr. Ng Lim Hon
Chairman of Rackson Group
Mr. Kelvin Lor
CEO of Rackson Group
Mr. Yeoh Soo Hin
Vice President, Asset Management at Marriott International
Mr. Leon Lee
Group CEO of Zeon Properties cum Director of Rackson Group
Distinguished guests,
Members of the media,
Ladies and Gentlemen.
Good evening.
First and foremost, I would like to thank the management of Marriott International and Rackson Group for inviting and giving me the honour to witness the signing of the Hotel Management Agreement today.
In around four years’ time, or by 2026, we are expected to see the Paris-born Le Méridien brand in Penang. The 200-room Le Méridien Penang Airport will be strategically located near the Penang International Airport and its construction is expected to begin at the end of this year. It will be one of the components of a mixed-use development known as Penang Gateway.
As the Chief Minister of Penang, I am pleased to welcome yet another top-rated hotel to the Penang hospitality industry. This latest addition is an award-winning international brand that will undoubtedly add excitement to the state's already vibrant and dynamic landscape, particularly in the island's south-west district.
In the vicinity is the Bayan Lepas Free Trade Zone where over 300 multi-national companies operate. Penang was once a traditional seaport economy before gradually evolving into the Silicon Valley of the East, and this year, we celebrate the golden jubilee of our industrialisation journey.
Penang, as many of us are aware, is the most important manufacturing base for electrical and electronics (E&E) products within Malaysia. It is among the most vibrant hubs globally with an estimated 5% of global semiconductor exports. We have also recorded two years of outstanding investment performances in a row, including the 2019’s all-time-high achievement of RM17bil and the second highest record in 2020 with RM14bil.
To keep the state moving forward, the State Government is already working on a number of ambitious projects. We have the proposed Penang South Islands (PSI), the State Government's strategic transformative development plan that will transform the sleepy southern coast into a Smart City as well as a world-class trade and tourist destination.
There is also the "Linear Waterfront" project, which will be built on a 60-hectare plot of land near the Queensbay Mall roundabout and will extend all the way to the second Penang Bridge. It is an extension of the FTZ electronics industrial zone and will be a world class township upon completion.
Adding the RM1.5bil Penang Gateway to the list, I am confident that this part of the world will be booming with plenty of activities and opportunities. The hotel, in particular, will offer an all-inclusive experience and convenience to business travellers and holiday seekers.
Besides the Le Méridien Penang Airport hotel, other components for the Penang Gateway’s first phase development, include serviced suites and retail components. This urban development, which is touted to be the first Transport-Oriented Development (TOD) in the state, will also be seamlessly connected to the Penang International Airport's Light Rail Transit (LRT) station, the airport itself via a link bridge, and other airport developments in the future.
Ladies and Gentlemen,
According to the Malaysia Healthcare Travel Industry Blueprint, Penang is recognised as the “most established state in healthcare travel”. We received RM750mil in healthcare travel revenue in 2019. And here at Penang Gateway, we have several medical related services, which I believe will bode well for the medical tourism in the state. For that, it is only apt to have another such facility on this side of the island.
In all, Penang Gateway will offer healthcare, shopping, leisure, and entertainment conveniences, as well as comfortable lodging for vacationers and business travellers, amongst others. This will be one of the economic stimulation developments following the Covid-19 pandemic, with job creation in the construction sector and during the hotel's reopening.
With innovative developers like Rackson Group coming on board, it is clear that Penang continues to remain a desirable investment destination. I look forward to more exciting opportunities in the years to come and express my deep appreciation to all industry players for their continued confidence in Penang as well as their efforts towards realizing the state's Penang2030 vision of becoming "A Family-focused Green and Smart State that Inspires the Nation".
With that, I wish Marriott International and Rackson Group all the best.
Thank you.