17/03/2026
26-acre reclaimed Penang land on the market for RM1.6 bil.
A prime piece of waterfront land near Gurney Drive in Penang is up for sale, several sources tell The Edge. The freehold reclaimed land is adjacent to Jalan Peter Paul Dason and close to Gurney Plaza, Eastern & Oriental Bhd’s (KL:E&O) Andaman Island, and the upcoming luxury development The Westin Hotel & Residences, as well as Gurney Bay. The asking price for the 26-acre land is said to be in the region of RM1,400 psf, which works out to about RM1.6 billion.
Market observers, however, suggest that a more realistic transaction price would be RM900–RM1,000 psf, or roughly RM1 billion. The seller is reportedly seeking a buyer who is willing to act as the master developer for the site. Under such an arrangement, the buyer would commit to the first phase of development, with sub-agreements for subsequent phases. A master agreement would provide the buyer with the first right of refusal at a pre-determined price for the remaining land, payable as needed.
It is said that the plot ratio stands at 5:1 and that the beneficiary of the land is Consortium Zenith Construction Sdn Bhd (CZC), formerly known as Consortium Zenith BUCG Sdn Bhd.
CZC is a special purpose vehicle appointed by the Penang government in 2013 to undertake three major road projects and a proposed undersea tunnel. The project has long been subject to public scrutiny and controversies, including an ongoing corruption trial involving allegations of a RM3.3 million bribe linked to the RM6.34 billion infrastructure plan.
In 2021, ECK Development Sdn Bhd (ECK) emerged as a major indirect shareholder of CZC. A company search reveals that Zenith Construction, wholly owned by ECK, holds 87.27% in CZC, while ECK holds 0.68%. ECK is owned equally by Tan Sri Khor Eng Chuen and his wife Puan Sri Ginney Chew.
The three major roads that CZC was to undertake are a 4.2km bypass from Gurney Drive to Lebuhraya Tun Dr Lim Chong Eu; a 4.6km bypass between Lebuhraya Tun Dr Lim Chong Eu and Bandar Baru Air Itam; and a 12km paired road from Jalan Tanjung Bungah to Teluk Bahang. A “paired road” is a new infrastructure project — often a dual carriageway or highway—built to run parallel to an existing, heavily congested road to provide an alternative route and increase capacity.
In exchange, the state government was reported to have agreed to compensate CZC with three plots of reclaimed land measuring over 110 acres in total, as well as a minimum 30-year toll concession for the undersea tunnel.
The Penang Infrastructure Corporation reportedly said that as at November last year, the construction of the Ayer Itam-Tun Dr Lim Chong Eu Expressway bypass (Package 2), was 87% completed and is now expected to finish by April 12, 2027.
Sources indicate that the land transfer for the 26-acre plot will only be executed once a buyer is secured, similar to a previous transaction in the area where CZC will arrange for the state government to transfer land ownership directly to the new buyer.
“CZC or ECK are not developers. ECK is a contractor. A developer is needed to draw up a master plan and manage the project. I hear they have approached several developers already — some in Penang and some in Kuala Lumpur — but nothing has materialised,” a source tells The Edge.
Previously, The Edge’s property pullout City & Country had reported that E&O’s 760-acre reclamation project Andaman Island, situated opposite the popular Gurney Drive, is set to be the second phase of its 1,000-acre Seri Tanjung Pinang (STP) development.
The first phase, STP1, sits on 240 acres of reclaimed shore-front land and is linked to Andaman Island via the 950m four-lane Andaman Bridge.
The Andaman Island is being developed in two phases. Phase 1, which covers 253 acres, has a gross development value of RM20 billion, while Phase 2 — where reclamation is still going on — will cover 507 acres and have a GDV of RM40 billion.
As for The Westin Residences, which forms part of The Westin Hotel & Residences, it will feature a 69-storey tower with a total of 498 units of branded residences with built-ups ranging from 1,033 to 3,670 sq ft, retailing from RM2,000 psf, alongside 217 hotel rooms and suites.
source : theedge
writer : rosalynnpoh
dateline : 16march2026
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