Plaza Rakyat

People's Plaza
Plaza Rakyat

The construction site of Plaza Rakyat (pictured in February 2007) has seen little activity since the project was stalled in 1997.
General information
Status Never built
Type Office, residential, leisure
Location Pudu Road, central Kuala Lumpur, Malaysia.
Coordinates 3°8′41″N 101°42′10″E / 3.14472°N 101.70278°ECoordinates: 3°8′41″N 101°42′10″E / 3.14472°N 101.70278°E
Estimated completion Never
Height
Roof 382 m (1,253 ft)
Technical details
Floor count 79

The People's Plaza (Malay: Plaza Rakyat) is a mixed-use skyscraper complex in Kuala Lumpur, Malaysia initiated during the 1990s. However the project, which had already commenced construction, stalled due to the 1997 Asian financial crisis and remains abandoned as of 2014.

The project, originally designed by Skidmore, Owings and Merrill, was to comprise a 79-story office tower, a 46-story condominium, a 24-story hotel and a 7-story shopping centre. The original Puduraya bus depot was also intended to be replaced.

History

The project, which occupies a large triangular tract of land facing Pudu Road and Robertson Road, Kuala Lumpur, was previously a swampland before occupancy in 1929 by the Selangor Chinese Club, a social club consisting of a clubhouse mimicking the Selangor Club at Merdeka Square in layout and architectural style (in Mock Tudor architecture), and a vast field. The club was completely cleared away during the 1990s for the project.

The site remains connected (but closed) to the Ampang Line's Plaza Rakyat station, which was opened in 1996 in preparation for the completion of Plaza Rakyat.

Abandonment and potential revivals

The Plaza Rakyat development was put on hold in 1998 due to financial difficulties faced by the developer and the 1997 Asian financial crisis. Abandonments have similarly plagued several other building projects in Kuala Lumpur as a result of the 1997 financial crisis, such as the Duta Grand Hyatt at the intersection of Jalan Sultan Ismail and Jalan Ampang, and the Vision City, Kuala Lumpur at Jalan Sultan Ismail. As of December 2012, only the base of the Plaza Rakyat complex has been completed.

Efforts to revitalise the project, announced in 2005 and 2006, proved unsuccessful and the project continued to be stalled. On 26 October 2007, it was once again announced that the project would be revived after contract negotiations and amendments with the Government of Malaysia regarding the sale of the premises following the completion of the project. The project was then expected to be completed by 2012.[1] However, little was said subsequently and the project continued to be abandoned.

After a public walkabout of the site by the newly installed Prime Minister Dato' Seri Najib Tun Razak in early 2009, the problem of the stalled construction project was looked at yet again. The government gave an ultimatum to the developer, Global Upline, three months from April 2009 to come up with a development plan or have its contract terminated.[2] In July 2009, it was reported that the new contractor would be announced by the following month.[3] However, in August 2009, Federal Territories Minister, Datuk Raja Nong Chik Raja Zainal Abidin said that the government had yet to accept any proposals from interested developers pending a response from Global Upline.[4]

In December 2009, the government announced that it would terminate the deal with the current developer. [5] The Federal Territories and Urban Wellbeing Ministry terminated the original contract with Plaza Rakyat Sendirian Berhad in 2010, 12 years after the company abandoned the mixed-development project. As of December 2012, according to Kuala Lumpur mayor Ahmad Phesal Talib, Kuala Lumpur City Hall is going through an arbitration process with the original contractor, with RHB Bank acting as the arbitrator. [6]

Following completion of the arbitration process, Ahmad Phesal promised to appoint a new contractor for the site. [7]

In November 2014, the city government of Kuala Lumpur (Kuala Lumpur City Hall) took possession of the site after completing an arbitration process. In doing so, the city government agreed to settle outstanding bank loans after negotiating over several months to reduce this amount. [8]

References

  1. ↑ "Abandoned RM1.3bil Plaza Rakyat project to be revived". The Star. 27 October 2007.
  2. ↑ Jayagandi Jayaraj (1 May 2009). "Abandoned Plaza Rakyat project stands out like a sore thumb in city". The Star.
  3. ↑ "Plaza Rakyat contractor to be known August". Business Times. 6 July 2009.
  4. ↑ "Contractor may lose Plaza Rakyat project". New Straits Times. 6 August 2009.
  5. ↑ Lim Chia Ying (1 January 2010). "Govt to terminate deal,decision made after negotiations with Plaza Rakyat developer fail". The Star.
  6. ↑ http://www.freemalaysiatoday.com/category/nation/2012/12/01/new-kl-mayor-to-revive-plaza-rakyat-project/
  7. ↑ http://www.freemalaysiatoday.com/category/nation/2012/12/01/new-kl-mayor-to-revive-plaza-rakyat-project/
  8. ↑ http://www.thestar.com.my/News/Community/2014/11/21/Plaza-Rakyat-to-be-revived-Kuala-Lumpur-mayor-to-make-site-visit-today/

External links