Concorde Hotel Kuala Lumpur, a well-known four-star establishment in the cityโs bustling Jalan Sultan Ismail, is now on the market for nearly RM700 million. The sale includes the hotel as well as an adjacent piece of prime freehold land, spanning a total of 4.5 acres. Sources reveal that the potential buyer will likely demolish the hotel to pave the way for a multibillion-ringgit integrated development.
This iconic property is linked to Singapore-based Malaysian tycoon Ong Beng Seng, who, along with his partners, is considering selling the hotel to explore other investment opportunities. The prospective sale has sparked interest among several investors eyeing the prime location for redevelopment, but sources say the owners are holding out for a particularly attractive offer.
Concorde Hotelโs History and Prime Location
Originally known as the Merlin Hotel from 1957 to 1990, the Concorde Hotel has been a staple in Kuala Lumpurโs hospitality scene for decades. Situated on Jalan Sultan Ismail, the hotel has long served as a central hub for both local and international travelers. Its ‘Dragon Court’ Chinese Restaurant, now rebranded as ‘XIN Cuisine,’ was a popular dining destination for generations of Kuala Lumpur residents.
In the mid-1990s, amidst increased competition from newer five-star hotels during the city’s economic boom, Concorde Hotel adapted by renovating its upper floors into premium suites to cater to high-end clientele. Despite these efforts, the owners are now looking to capitalize on the propertyโs value by selling it to developers who can maximize its potential through redevelopment.
The hotelโs location in the heart of Kuala Lumpur places it within close proximity to major landmarks, shopping areas, and public transportation hubs, making it an attractive investment for those looking to create a new high-profile mixed-use development in the city.
Potential Redevelopment Plans
While the Concorde Hotel Kuala Lumpur has been a beloved fixture in the cityโs skyline, the property is now considered a prime candidate for redevelopment. Investors envision transforming the 4.5-acre site into a multibillion-ringgit integrated development that could include a combination of residential, commercial, and hotel spaces.
Given its central location, any redevelopment would likely be of significant scale, contributing to the growing trend of mixed-use developments that blend luxury living, business, and leisure in one iconic space.
Ong Beng Seng’s Parallel Sale in Singapore
In addition to the sale of Concorde Hotel Kuala Lumpur, Ong Beng Seng is also involved in the sale of Concorde Hotel & Shopping Centre in Singapore. The Singapore property, owned by Hotel Properties Ltd. (HPL) and other stakeholders, is up for sale via public tender. The asking price is set at S$820 million, equivalent to approximately S$1,801 per plot ratio (ppr), including balconies.
The property, located at 100 Orchard Road in Singapore, was completed in the mid-1980s and covers a corner island site of around 99,623 square feet. The valuation is based on a proposed mixed-use development that allocates 40% for hotel use, 40% for residential, and 20% for commercial spaces.
Savills Singapore, the exclusive marketing agent for the property, has noted that interested buyers could submit an alternative planning application to the Urban Redevelopment Authority (URA) for a different usage mix. Foreign buyers, including Malaysians, are eligible to purchase the property, with no restrictions on ownership.
The public tender for Concorde Hotel & Shopping Centre in Singapore is set to close on October 16, 2024, and the potential for a similar mixed-use development could bring significant returns for investors.
What the Future Holds
The potential sale of Concorde Hotel Kuala Lumpur marks a key moment for Kuala Lumpurโs property market, with the site offering significant redevelopment potential. As the city continues to grow and attract both local and international investors, prime locations like this are increasingly being sought after for new, large-scale developments that align with Kuala Lumpurโs evolving skyline.
For investors and developers, the opportunity to transform this iconic hotel into a modern, integrated space could prove highly lucrative, given the rising demand for mixed-use developments in prime city locations. The site’s potential, coupled with its history and central location, makes it a highly desirable asset.
Should the sale proceed, the redevelopment of Concorde Hotel Kuala Lumpur could further enhance the cityโs appeal as a global business and tourism hub, contributing to the cityโs continuous growth and modernization.
Conclusion
The listing of Concorde Hotel Kuala Lumpur for sale is a significant event in Malaysiaโs property landscape, presenting an opportunity to repurpose one of the cityโs most iconic locations into a dynamic, modern development. Investors looking to capitalize on Kuala Lumpurโs growing demand for mixed-use spaces will find this property an attractive proposition, with its prime location and redevelopment potential offering the possibility of significant returns.
With the added context of Ong Beng Sengโs parallel sale of Concorde Hotel & Shopping Centre in Singapore, it appears that strategic shifts are underway for the tycoon, who is looking to recalibrate his investments across both Malaysia and Singapore.
