City Hall urged to intervene in stalled Skybridge project
KOTA KINABALU: The City Hall (DBKK) has been urged to help save the Oceanus Mall project by saving Sabah’s first Skybridge project here.
Making the call yesterday, Kota Kinabalu MP Chan Foong Hin said though City Hall was not directly involved in the project, he wanted it to play a role in solving the current dilemma that had reportedly stalled the nearly completed multimillion Skybridge project.
Chan pointed out that the projects, developed by Sunsea Development Sdn Bhd, consist of the Phase 1 construction of Oceanus Mall, Marriott Hotel and Pelagos Designer Suites, and the yet-to-belaunched Phase 2 project which includes United Nations High Commissioner for Refugees (UNHCR) market and Skybridge. They have been, are being and will be built on DBKK Holdings Sdn Bhdowned land.
He noted that currently, problems faced included the complaint by a group of purchasers about the developer owing a staggering RM38,787,344.74 in unpaid Oceanus Mall rental return as of Dec 31 last year.
He said the Phase 2 of the project and the Skybridge completion had to be stopped at all costs until the rental issue was resolved.
“KK City Mayor must commit to resolve the issue as DBKK is one of the project owners,” said Chan.
“DBKK is the owner of Oceanus Waterfront. Even though they are not involved directly in the Skybridge project, it was built to complement Oceanus.
“Now its developer is facing the issue of non payment of rental to purchasers, thus is winding up,” he added.
Chan added the Skybridge issue is further proof of the need to review former Prime Minister Datuk Najib Razak’s Economic Transformation Program (ETP)-style of development model.
“Oceanus Waterfront project is one of the projects under ETP. It is private sector-initiated with some facilitation fund provided by federal government through Unit Kerjasama Awam Swasta (UKAS). Normally, UKAS would facilitate 10% of the estimated total project value.
“Why should the developer (be) in liquidation despite being given a golden opportunity to develop the prestigious waterfront site?” said Chan.
“What’s the factor that made DBKK come into a joint venture with this Sunsea Development Sdn Bhd? Has DBKK done due diligence of the partner they have chosen before the project was awarded?” he added.
The Kota Kinabalu MP stressed that the Skybridge project contractor, Petrofiq Sdn Bhd, shouldn’t be accused of abandoning the job.
“It’s the developer that is facing winding-up and caused all kinds of late payment,” said Chan.
“I urge UKAS to expedite the payment to the contractor since the developer had to wind-up in the interest of public safety and the enhancement of the city,” he emphasized.