13 March 2018

Malaysia Airports Holdings Bhd (MAHB) is looking at developing a new terminal within five years as the current terminals, Kuala Lumpur International Airport (KLIA) and klia2, approach full capacity.

MAHB managing director Datuk Badlisham Ghazali said the new terminal, to be called KLIA3, is something that the airport operator is “seriously looking at” as KLIA and klia2 received some 59 million passengers last year, against their total capacity of 75 million passengers.

“We are already putting in plans but we need to talk to the government about which part of KLIA we expand. It requires expansion obviously, because we are growing, last year we did 8-8.5% growth in terms of total passenger count and KLIA experienced almost double-digit growth,” he told reporters at the groundbreaking ceremony of Senior Aerospace UPECA’s new facility at Subang Aerotech Park today.

Badlisham said the new terminal will be built along the borders of runways three and four while a few more mid-field terminals could be built along KLIA and klia2 where there is ample land.

Meanwhile, in addressing the large capacity at the existing airports, MAHB has committed to enhancement programmes that will be carried out over the next two to three years, including the upgrading baggage handling facilities and the Aerotrain, which will add capacity by three million to five million passengers.

Commenting on business expansion for MAHB, Badlisham said there are many opportunities for airport development as countries worldwide are looking to upgrade their infrastructure, especially airports.

“MAHB has been a bit busy in terms of reviewing and discussing with potential partners and also regulators in other countries. So we shall see, God willing, we will present this to the board of directors and also our shareholders,” he said.

MAHB’s interest is centred around Asia as travel is growing the fastest in this region, Badlisham said, and it is interested in both airport operations and stake acquisition in terms of international expansion.

On another note, the 60-acre Subang Aerotech Park is expected to attract more than RM1 billion in local and international investments, supporting some 5,000 jobs, in the next five years.

“With about 70 aerospace companies already based within the Subang aerospace ecosystem, Subang Aerotech Park will provide a further platform to build the aerospace SME supply chain, creating a complete aerospace ecosystem,” said Badlisham.

Senior Aerospace UPECA, the first tenant of Subang Aerotech Park, is investing RM151 million in a built-to-suit manufacturing plant and office facility that will serve its global supply chain.

The facility will be built by Axis Real Estate Investment Trust (Axis-REIT) on 7 acres of land, which has been subleased by MAHB to Axis-REIT for 49 years. Construction will begin next month and the facility will be handed over to Senior Aerospace UPECA by year-end.

MAHB has already issued a request for proposal to select a new project delivery partner for the remaining plots of the project.

Original Source: thesundaily