Construction firm Lendlease and TRX City Sdn Bhd (TRXC), which are co-developing the Lifestyle Quarter development at the Tun Razak Exchange (TRX), have secured a RM2.15bil financing facility for a period of five years. It was formalised at a signing ceremony today, witnessed by Finance Minister, Lim Guan Eng.
The financing facility was secured from a consortium of banks, comprising HSBC, Maybank, Standard Chartered and Sumitomo Mitsui Banking Corporation.
The Lifestyle Quarter at TRX is a mixed integrated development, with residential, entertainment, leisure, public park, hotel and retail components. It is developed as a joint venture between Lendlease and TRXC.
The Government last year agreed to provide TRX City up to RM2.8 billion additional funding to
allow the company to complete the overall project, despite its association with the scandal-plagued 1Malaysia Development Berhad. Finance Minister Lim Guan Eng at the signing ceremony today said: “[R]est assured, that TRX is detoxified. It has now been cleaned-up and is moving forward as a world-class, international, global project…This should be a signal that for those investors coming here, rest assured, your investments are protected by the rule of law.”
“And above all, the review that we conducted on TRX showed that the Government is able to recover all of its opportunity cost and investment made into TRX because of the global and best practices adopted by the present government,” added Lim. As TRXC is a wholly-owned subsidiary of the Finance Ministry, the government owns 40 per cent of the Lifestyle Quarter, with the balance owned by Lendlease.
The 17-acre development is slated for completion in 2020/2021, while the entire TRX project is scheduled to be complete by 2024.