Download - E&O Passions (Apr-Jun 2015)
THE NEW
GOLDEN AGE
OF PENANG The Pearl of the Orient rides a new wave of growth and economic transformation
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BEHIND THE
SCENES E&O Passions chats with
Dato’ Lee Kah Choon, Special Advisor to the Chief
Minister of Penang
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E&O PULSE News, updates and happenings
APRIL - JUNE 2015
A newsletter of E&O Property (Singapore) Pte. Ltd. Copyright 2015 Eastern & Oriental Berhad
All rights reserved. Address: 1 Raffles Link #01-01 North Tower, Singapore 039393
T: +65 6337 1680 | E: [email protected] | www.easternandoriental.com
Once a British colony that became one of the foremost ports in Asia in its early
years, Penang is now riding a new wave of growth and economic transformation
to bring out its best as an international city while retaining its rich heritage and
cultural splendour.
| SPOTLIGHT
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PPPENANGENANGENANG ofofof GGGOLDENOLDENOLDEN AAAGEGEGE
The 2008 inscription of George Town, the capital
of Penang, as a UNESCO World Heritage Site
speaks volumes about the island as a celebration
of colours, cultures and colonial charm that
stretches back over two centuries.
Wander through Penang’s bustling streets today
and you will discover it is alive and thriving in
almost every aspect of everyday life. Hear it in
the speech of the locals—a symphony of Malay,
Chinese, Tamil and English—all mingled
together. Taste it in the street-hawker fare that
is famous around the world.
Most of all, feel it in the unique island rhythm of
Penang living—a pace that is perfectly in tune
with the ebb and flow of the sea. In fact, Penang
is Malaysia’s most visited tourist destination and
a popular tropical haven for a second home or
retirement destination.
The Penang International Airport was recently
expanded as tourist arrivals increased from 4.8
million (2012) to 5.3 million (2013). Tourist
arrivals is estimated to have hit 5.5 million in
2014.
A vision springing to life
A clear indicator of the confidence in Penang’s
prospects is the entry of several major MNCs into
the island’s economy. Citigroup has opened its
second transaction services hub in Penang,
reportedly its largest regional trade and cash
processing centre, handling around 20 million
transactions. Wilmar International, Asia’s leading
agribusiness group, has chosen Penang as the
location of its first global business services centre.
SanDisk Corp, a leading flash memory storage
manufacturer headquartered in California, has
recently set up a RM1.2 billion manufacturing
plant in Penang while Japanese electronics and
ceramics producer Ibiden Co. Ltd. is increasing
production at its second building in Penang
Science Park by investing some RM1.3 billion. It
was also recently announced that computer
peripherals manufacturer Seagate will invest
RM1.05 billion to build a new plant in Penang
while furniture giant Ikea has confirmed its
entry with an RM8 billion project.
Temasek of Singapore has also signed a
memorandum of understanding with Penang
Development Corporation to develop the
Penang International Technology Park and
Business Process Outsourcing Prime at a gross
development value of RM11.3 billion.
With Malaysia described
by some as “medical travel’s
best-kept secret,”
Penang is gaining popularity
as a top medical tourism
destination
SPOTLIGHT |
The legendary Eastern & Oriental Hotel in George Town,
Penang — the hotel celebrates its 130th anniversary this year
A leader in medical tourism
With Malaysia described by some as “medical
travel’s best-kept secret,” Penang is gaining
popularity as a top medical tourism destination,
accounting for 60% of the country’s total
foreign medical tourists in 2011.
Its highly trained medical professionals and
modern facilities offer medical care at
affordable prices, as compared to destinations
elsewhere in the region.
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Other companies that have invested in Penang
in recent years include Bose, an American audio
equipment manufacturer; VAT Manufacturing, a
Swiss vacuum valve manufacturer; and Barkath
Co-Ro, a food manufacturer of brands such as
Sunquick and Hacks.
Investing in the future of Penang
As more investments flow into Penang and more
people move there, they will need safe places to
live, work, and commute. Pent-up demand on
the island remains strong and residential
property prices are expected to remain firm due
to scarcity of land. By 2030, Penang’s population
is projected to rise to between 2 million and 2.2
million, from around the current community of
1.6 million.
Statistics show that in 2013, Penang was ranked as
the third largest property market in Malaysia,
accounting for 9% of total transactions in the
country. A Credit Suisse report in November 2014
highlighted that the Penang property market has
grown by 19% since the first quarter of 2013,
exceeding the national growth rate of 12%.
This trend is expected to stay vibrant on the back
of rising affluence, an infrastructure boom, an
inflow of high-impact investments and sound
government policies.
Added to this is Penang’s natural beauty,
tropical weather and historical significance,
which make it one of the world’s top
destinations to live and invest in. This has been
endorsed by ECA International, which voted
Penang as one of Asia’s most liveable cities in
2010, 2011 and 2012.
Prime living in Penang
Seri Tanjung Pinang—a world-class masterplanned
development by premier lifestyle property
developer Eastern & Oriental Berhad (E&O)—
pays tribute to the heritage of Penang with its
stylish, Straits-eclectic homes. It boasts seafront
living at a prime address that is favoured by
both locals and expatriates. Today, it is home to
a vibrant community of more than 20 nationalities.
Sitting at the final and finest plot at Seri
Tanjung Pinang is 18 East at Andaman, the latest
E&O property gem that is both a home and a
resort. From its fantastic location by the sea,
dwellers get to enjoy the vista of the ocean, the
hills or the scenic skyline of Gurney Drive. At the
heart of Andaman is its spectacular 4.5-acre
waterpark amid 7 acres of green—that is a luxury
in land-scarce Penang and by any standards.
Being a part of the Seri Tanjung Pinang
community, Andaman residents are presented
with endless possibilities for leisure and
recreation. The seaside promenade is ideal for
walks, jogging and cycling while a 10-minute
stroll takes them to the vibrant Straits Quay,
Penang’s first seafront retail marina, bringing to
life the concept of living by the sea.
| SPOTLIGHT
“Little Children on a Bicycle” — famous street art mural by
Lithuanian artist Ernest Zacharevic in George Town, Penang.
The project, known as Mirrors George Town, was
commissioned in conjunction with George Town Festival 2012.
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This beautifully designed complex is also where
residents will be able to shop, dine and be
entertained. It is also home to the Performing
Arts Centre of Penang, the northern region’s
leading hub for the arts.
Residents of 18 East—the most premium tower
in the Andaman series—will enjoy a private
lobby concept with personal concierge services.
Further lending a touch of exclusivity, 18 East
residents will receive the Premier Card, which
entitles them to food and beverage promotions
at the iconic E&O Hotel and the boutique
beachfront Lone Pine Hotel in Penang; discounts
from selected retail stores at Straits Quay;
exclusive invitations to luxury lifestyle events;
and preferential pricing on E&O properties
(subject to terms and conditions).
Security at Andaman at Quayside is among the
most sophisticated in the region. Designed by GDSS
Security Consultants, it employs a multi-layered
zonal system enhanced by fibre-optic fences, 24-
hour CCTV cameras and motion detectors, all
monitored by a state-of-the-art control centre.
With the island’s transformation and growth
gaining momentum, the opportune time to
invest in a Penang property is now. 18 East at
Andaman—those who know, insist on E&O.
www.quaysideresort.com
References:
“Speech By Penang Chief Minister Lim Guan Eng In The ASLI Conference In
Singapore On Penang Investment Opportunities.” www.limguaneng.com,
26 November 2012.
“Bringing out the best of Penang.” Sunday Star, 20 April 2014.
“Citigroup Transaction Services Malaysia opens second hub in Penang.”
Citigroup Inc., 2 July 2013.
“The official opening of Wilmar Global Business Services Sdn Bhd.” Penang
State Government, 6 September 2013.
“California's SanDisk sets up RM1.2billion Penang plant.” AsiaOne.com, 9 June 2014.
“Japan's Ibiden invests RM1.3bil in M'sia, creates 1,500 new jobs.” The Star,
15 November 2013.
“Hot spots emerge as Penang property market stays vibrant.” The Edge
Malaysia, 5 January 2015, p. S10-S11.
“Seagate invests RM1 billion on new Penang plant.” The Malaysian Insider,
9 August 2014.
“Penang government, Temasek and EDIS inks MOU to develop BPO Prime and
Penang International Technology Park (PITP).” EDI Singapore, 22 May 2014.
“Growing at a fast clip.” The Edge Malaysia, 5 January 2015, p. S2.
“Speech by Penang Chief Minister Lim Guan Eng in Singapore at the Penang
Investment Opportunities.“ www.limguaneng.com, 14 October 2014.
“ECA names Penang ‘most liveable city’ for second year running.” The
Malaysian Insider, 23 April 2012.
SPOTLIGHT |
Enjoy panoramic views of the Andaman Sea from the comfort of your home at 18 East
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| BEHIND THE SCENES
E&O Passions is pleased to
chat with Dato’ Lee Kah
Choon in our special
feature on Penang. A man
of many hats, Dato’ Lee is
Special Advisor to the
Chief Minister of Penang.
He sits on the board of
various state government-
linked corporations and
private companies. He is
also Senior Advisor on
China-ASEAN affairs to
Zico RMC Pte Ltd, a
Singapore-based multi-
discipline advisory
company.
PENANG Transforming
What are some of the
changes you have seen in
Penang in the last decade?
Penang has always been one of
the most interesting states in
Malaysia with its sense of
history, thriving cultural scene
and strong NGO (non-governmental
organisation) activism.
The pace of development has
picked up in the past few years
but I’ve always been amazed at
how heritage has endured and,
in fact, experienced a
rejuvenation.
You will see it in the traditional
shophouses, which I see as a
symbol of perseverance and
rebirth. Before, they were left
derelict and unwanted; but
because society today is more
aware of its historic and
architectural significance, many
have been given a new lease of
life and are venues to a
flourishing market for artists,
F&B outlets and boutique hotels.
A number of heritage tours
have also been offered to
enhance tourists’ experience in
Penang — trishaw rides within
heritage sites, tours of the
historical enclave around
Armenian Street, clan houses
and Acheen Street, tour of
Cheong Fatt Tze Mansion and
Little India Spice trail.
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BEHIND THE SCENES |
The Penang Bridge is the second-longest bridge in Malaysia and the fifth-longest
in Southeast Asia by total length, with a length over water of 8.4 kilometres
The Penang Heritage Trust
organised living heritage trails of
George Town with self-guided
tours covering traditional trades
and traditional foods. All these
add to the heritage factor that
makes Penang famous.
The Penang skyline has also
changed. It started in the 1990s
when industrialisation, fast-paced
development and rapid
population growth radically
transformed Penang’s urban
geography. New housing estates
sprung up in all parts of the
island, replacing plantations and
vegetable farms. This trend has
continued due to rising affluence,
a pick-up in business activity and
growing investments.
What would you say are
some of the challenges
Penang is currently facing?
We have many things going for
us but with the increasing
number of people who choose
to visit, work and live in Penang,
our infrastructure needs to keep
pace.
We currently have free shuttle
buses and park-and-ride
schemes as stopgap measures.
The state government is actively
implementing infrastructure
projects via the RM27 billion
Penang Transport Master Plan
(PTMP) to revamp the transport
system for the long-term.
What is Penang’s vision and
what would it take to get there?
Despite our size, we aim to be
a vibrant, open and free society
in the heart of Southeast Asia,
with first-world institutions
capable of delivering clean,
democratic and effective
governance. Much like
Lausanne in Switzerland or
Perth in Australia, we aim to
create a sense of pride,
belonging and shared
ownership in the future of our
communities, state and nation.
To immediately improve the
quality of life for many people,
especially work-life balance, I
cannot emphasise enough the
priority of upgrading our
current infrastructure (roads/
port/airport). I’m confident
that’s the first step towards a
better life and future.
If you could share with an
overseas visitor about
Penang’s transformation,
which three main things
come to mind?
I’m extremely proud of our
heritage conservation. Arts and
culture contribute directly to our
sense of identity. Penang’s living
heritage finds expression through
a combination of architecture,
ethnic quarters, languages,
festivals, dances, costumes, art,
music, food and lifestyles.
To celebrate this, the annual
George Town Festival is a month
-long carnival of arts featuring
music, theatre, art, dance and
film. I would encourage the
visitor to stay for the festivities!
I would also highlight our
industrial advancement. This is
proven with the increasing
investments of many MNCs.
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| BEHIND THE SCENES
If your overseas friends were visiting Penang for the first time, which three If your overseas friends were visiting Penang for the first time, which three If your overseas friends were visiting Penang for the first time, which three
places would you take them to?places would you take them to?places would you take them to?
The three places would be: 1) the heritage enclave to get a sense of our past; 2)
the Penang National Park (the first protected area legally gazetted under Malaysia's
National Park Act of 1980) to get an appreciation of our natural resources; and 3)
Penang Hill for a sense of our present and possibly, our future.
Favourite street food:Favourite street food:Favourite street food:
Pan Mee (ban mian), Ban Chang Kuih and Nasi Melayu
Favourite place to hang out in Penang:Favourite place to hang out in Penang:Favourite place to hang out in Penang:
I enjoy the kopitiam experience so you will find me at the local
coffeeshops!
In the late 1990s, electrical and
electronics growth slowed down
and the situation worsened in the
2000s with the diversion of
foreign direct investments (FDI) to
other emerging countries in Asia.
From the late 2000s, however,
through effective programmes by
the state government and local
agencies to promote high-value/
value-added industries and create
an enabling business and innovative
environment, MNCs started moving
up the value chain by launching
R&D centres and locating their
shared service centres for global
operations in Penang. This is a story
worth retelling as it demonstrates
our resilience, which has resulted in
this exceptional turnaround.
Finally, I would talk about our
relentless environmental
protection that we give to our
natural resources. Due to
limited land on Penang island,
development has been pushed
further uphill and into the sea,
resulting in the need for
eco logica l ly susta inable
hillslope treatment and coastal
reclamation.
From cultivating day-to-day
habits such as “no free plastic
bag” campaign to developing
an urban regeneration and
renewal strategy, we’re always
thinking ahead of what we can
do to enhance the public realm
and harness the potential of
our historic quarters.
What do you think is the
winning factor that makes
Penang a vibrant property/
retirement hot spot in Asia?
It is a perfect combination of
hospitable weather, competitive
cost of living, good quality of life as
well as accessible and affordable
healthcare support system.
What is the one achievement
you are most proud of?
In my work with InvestPenang,
I would say being directly
involved in the successful
transformation of Penang into
a location of choice for
investors, tourists, retirees and
residents.
Illustrations: Proposed redevelopment concepts for Landmark House and Thames Tower 9
E&O PULSE |
E&O acquires Hammersmith site in London
E&O has acquired a 1.2-acre freehold site in Hammersmith, West London, at the
purchase price of RM308.9 million (£57 million). Prominently located along the
principal road connecting Central London to Heathrow Airport, the site is currently
occupied by two connected prime office buildings: the 11-storey Thames Tower and
the 15-storey Landmark House, which were constructed in the 1960s.
Dato’ Terry Tham, E&O Group Managing Director notes, “This prime freehold parcel in
the established commercial hub of Hammersmith represents a significant refurbishment
or redevelopment opportunity for E&O in the future. Subject to the relevant authority
approvals, there is the potential to create Grade A office space and residential
accommodation in an area where demand for quality new build property is strong.”
Supported by excellent connectivity, Hammersmith’s London Underground stations
provide access to the Piccadilly, Hammersmith & City and District lines. The two
stations are within two minutes’ walking distance from the site.
To date, E&O has three property assets in prime London locations — Princes House acquired
in 2012, ESCA House acquired in 2014, and the latest Hammersmith project, which together
have a combined gross development value of approximately RM1.4 billion (£269 million).
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Actual photograph taken at the waterpark
Appreciating the enduring values in people’s lives inspires us to create places of true worth.
18 East at Andaman is a premium reserve collection of exquisitely-appointed
residences with dedicated entrances and personalised privileges. This exclusive
seafront condominium is set within a fully-completed 4.5-acre waterpark within
Seri Tanjung Pinang, the address of luxury island living and a haven to create
memories that last a lifetime.
Those who know, insist on E&O.
Opening Hours Monday - Friday | 9 am - 6 pm
Saturday | 11 am - 4 pm
OPEN FOR SALE
Call or visit the E&O Gallery Singapore at One Raffles Link #01-01 for a taste of life at the
pinnacle of the Andaman Sea.
SINGAPORE 65 6337 1680