GEORGE TOWN: Penang’s satellite township in Batu Kawan is developing rapidly despite the softening of the property market and rising living costs, said Chief Minister Chow Kon Yeow.
Instead, Penang Development Corporation (PDC), as the landowner, and its partner the Aspen Group – the master private developer – have got rave reviews from consumers on the commercial front as well as the taking up of industrial plots.
Chow, when launching the expansion of the IKEA superstore here, said Batu Kawan is developing according to PDC’s plans.
PDC’s strategic plan is to develop integrated townships in Penang with the industrial zones in Bayan Lepas and the services hub in Bayan Baru as well as Seberang Prai’s administrative township in Seberang Jaya.
“Now, Batu Kawan is next on the list of townships which can boost the state’s economy and sustain rapid growth,” said Chow.
Since its launch five years ago, the Batu Kawan Industrial Zone has only a few more plots left in its manufacturing zone whereas the commercial area has grown with the presence of the Swedish furniture store retailer.
The Ikea expansion includes 15 new retail partners including the convenience outlet 7-Eleven and household retailer Harvey Norman.
Chow said Penang has also benefited from the prolonged US-China trade war because more investors are re-directing their operations to the region, judging from the record foreign direct investments (FDI) which Penang has achieved.
He said PDC will now expand its development pace here to the Byram Estates while also trying to woo investors for theme parks and golf courses here.
Ikea Southeast Asia managing director Christian Roejkjaer said the company looks at its investment in Penang in the long term context.
Since last year, three million people have visited its superstore here.
Roejkjaer also said that Ikea remained committed to Malaysia as it is confident that its business model can perform well.
