GEORGETOWN, 19 Feb: The Penang Government has not approved the establishment of a casino in the state because it causes more harm than good.
The Chief Minister of Penang, Lim Guan Eng, said that even though the economic benefits from casinos are manifold, the social and spiritual cost is too heavy and high for our multicultural and diverse society to bear.
He said that instead, the Penang Government will focus on projects that would develop the economy which provides many benefits.
“We are happy because IKEA has decided to open their first store outside of Kuala Lumpur, at Batu Kawan in Penang.
“This decision is a strong boost of confidence for Penang’s aspirations towards becoming an international and intelligent city,” he said in a press statement.
He said a one-stop centre for advanced manufacturing, services and logistics hub, an education centre of excellence, a premier residential location and a commercial and retail centre would be built under a joint-venture between IKEA’s parent company, Ikano, and a local company on a 99.15ha plot in Batu Kawan which was sold by the Penang Development Corporation for RM484mil.
“The Penang Government welcomes Ikano’s investment and will act as an engine of economic growth and will place Batu Kawan on the international map as a world-class site for commercial industry, retail, education, health and lifestyle,” he said.
He said that he has met with the KEA technical team and the IKEA design team; Investment Project Manager, Mikael Winqvist; the Regional Design Manager, Tim Dennon, and the Assistant Development Manager, Edward Ng.
The sale of the 245 acres of land by the Penang Development Corporation (PDC) in Batu Kawan is worth RM484 million, with the mall expected to be completed in five years.
From the total, 30 acres will be for the development of the Ikano flagship store IKEA and Phase 1 is for a shopping centre. 45 acres is for the Phase 2 of the shopping complex and 170 acres is for a mixed development project, with PDC having received a non-refundable deposit worth RM5 million.
