Putrajaya Orders Temporary Closure of KL Tower

KUALA LUMPUR: The Ministry of Communications has ordered the temporary closure of the Kuala Lumpur Tower (KL Tower), citing safety and operational concerns amid an ongoing dispute between its former and current concessionaires.

In an official statement, the ministry declared that Menara Kuala Lumpur Sdn Bhd’s (MKLSB) continued occupation of the premises beyond March 31, 2025, is considered “unlawful”. The tower will be closed to the public starting Thursday to facilitate maintenance and upgrades by the newly appointed operator.

Effective April 1, LSH Service Master Sdn Bhd—a subsidiary of Lim Seong Hai Capital Bhd—has officially taken over the operations, management, and maintenance of KL Tower under a new 20-year concession agreement. The ministry reiterated that the landmark is government-owned, and its reopening date will be announced at a later time.

“The Federal Land Commissioner has issued two eviction notices to MKLSB via letters dated April 3 and April 9. Any ongoing operations by MKLSB are being conducted without the government’s authorisation,” the ministry said.

The transition has triggered a legal battle between LSH and MKLSB’s parent company, Hydroshoppe Sdn Bhd. Hydroshoppe, which acquired MKLSB from Telekom Malaysia in October 2022, filed a suit in March seeking RM1 billion in damages and an injunction to halt the concession transfer—an application that was ultimately denied.

Despite the legal setback, MKLSB has continued its operations, most recently hosting a Hari Raya open house at KL Tower on April 13. The event was attended by former prime minister Tun Dr Mahathir Mohamad, who officiated the opening of a 28-year-old time capsule.

The dispute underscores deeper concerns over the handling and transparency of public asset concessions, with broader implications for investor confidence and governance in Malaysia’s infrastructure sector.–THE EDGE

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