EPP 1 : MODERNIZING KOTA KINABALU CITY JESSELTON WATERFRONT DEVELOPMENT SABAH INTERNATIONAL CONVENTION CENTRE (SICC)

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EPP 1 : MODERNIZING KOTA KINABALU CITY EPP 1 : PROJECT 01 JESSELTON WATERFRONT DEVELOPMENT High-end Residential Developments Retail Commercial Office Towers Waterfront Hotels International Cruise Terminal ( 2 phase ) 300 berths of multiple lengths Marina Market Demand Infrastructure to support the development eg. Water, sewerage, power supply & broadband service. Resources during construction Increase of material cost Increase volume of Traffic in CBD area Cruise Terminal development which requires relocation of general cargo Waterfront Development Will be a tourism friendly development and center of tourism activity, which consists of broad walk, marina activities, high-end shopping arcade, 5-star hotel and international cruise terminal Marina facilities To accommodate the need to have more berths (parking bays for boats) in Greater KK Capacity at Sutera Marina Harbour has already reached its maximum (104 berths) More economic spillover effect to the local economy/retailers To improve the main infrastructure to support this new development Practical traffic system without sacrificing Project Land area Land approval for cruise terminal development MIXED USE DEVS. 10 Storey Shopping Arcade and Corporate Offices 10 Storey Luxury Waterfront Condominium Thematic Retail Outlets Boutique Hotel International Bazaar WATERFRONT LUXURY VILLA Waterfront Apartments And Bungalows Marina Facilities Clubhouse Maritime Museum The Aquarium INTERNATIONAL CRUISE TERMINAL International Cruise Terminal Complex Marina Facilities Duty Free Complex & Entertainment Center EPP 1 : PROJECT 02 EPP 1 : PROJECT 03 SABAH INTERNATIONAL CONVENTION CENTRE (SICC) The site is located strategically at the tail-end of the proposed Jesselton Waterfront Development. It is surrounded by the sea on 2 sides and the main road Jalan Tun Fuad Stephen. The development area of the site is 15 acres (6.07 hectares). The Sabah International Convention Centre will be the main centre for convention activities and development of the MICE industry in the State. Traffic congestion on Jalan Tanjung Lipat (inbound & outbound) Restriction on land reclamation The Federal Government financial assistant through Federal Facilitation Fund MICE create and add high value to tourism product. These will generate revenue in terms of quantity spending per person: - Domestic (leisure) tourists : RM735 million - International tourists: RM2,300 million - MICE: RM3,147 million ECONOMIC IMPACT - for each(1) convention event: INTERNATIONAL: RM235 million LOCAL: RM4 million KOTA KINABALU INTERNATIONAL CRUISE TERMINAL AT JESSELTON Construction of an International Cruise Terminal with the focus of becoming home port for cruise liners This project will become the second entry point for tourists coming to Sabah KKICT will include real estate property development to compliment the international cruise terminal The land provision by the state government for the relocation of the general cargo operation to a new cargo port. Current proposal is adjacent to Sepanggar Bay Container Port The funding for the cost of building a new cargo port The approval for 42 acres land application designated for KKICT at existing Kota Kinabalu Port area Sabah Ports Authority to acquire land adjacent to SBCP in order for Suria Group to invest in infrastructure of New General Cargo Port and Dedicated International Cruise Terminal To have a dedicated International Cruise Terminal to attract more international cruise arrivals for Sabah

EPP 1 : MODERNIZING KOTA KINABALU CITY EPP 1 : PROJECT 04 EPP 1 : PROJECT 05 KOTA KINABALU COASTAL PEDESTRIAN WALKWAY & CYCLEWAY KOTA KINABALU CITY WATERFRONT DEVELOPMENT Provision of safe pedestrian walkway & cycleway with total length of 24km from Tg. Aru to UMS passing through CBD and heritage sites i.e. Australian Place, Atkinson Tower. To promote environment friendly living and the cultural heritage of Kota Kinabalu. Located along Jalan Tun Fuad Stephens with total area of 3.12 acres Overall development comprises of: i. 4-Levels of retail malls ii. 7-Levels of 111 units high-end designer suites iii. 14-Levels, 365 rooms 5-Star Hotel with 1,000 seating capacity ballroom iv. Boardwalk Accessibility for contractor to deliver construction materials To improve the main infrastructure to support this new development Transform Jalan Tun Fuad Stephens into peoplecentric city Generate job opportunities in hotel and hospitality industry Land availability for walkway & cycleway Underground utilities Congested traffic/bottleneck at Sinsuran and Kg. Air area. To improve the main infrastructure to support this new development. Practical traffic system without sacrificing Project Land area. Encourage recreational activities for local community and visitor Provide connectivity for local community and visitor from Tg. Aru to UMS, Likas via CBD Promote a healthy lifestyle for the community To make the city a safer place EPP 1 : PROJECT 06 EPP 1 : PROJECT 07 INTERNATIONAL TECHNOLOGY & COMMERCIAL CENTRE (ITCC) AEROPOD MIXED COMMERCIAL & ITCC Penampang is a state-of-the-art complex/mall/residential constructed on 10.475 acres land along Jalan Pintas Penampang consisting of: A 4-Storey/536 Units Commercial/Shopping Mall 17-Storey/295 Units Hotel Suites 19-Storey/300 Rooms Business Hotel 16 Storey i-office Tower Development Adequate and timely supply of raw materials (eg. Cement, etc), availability of competent and quality supply of labour force affecting timely project delivery/completion Economics Global economy threat/impact to domestic economy and unfair market competition Alternative Rear Access Road Enhancing the commercial activity along Jalan Pintas Penampang More hotel rooms for the State Capital Job opportunity for local community especially Penampang (30% - Skilled, 35% - Semi Skilled, 25% - Unskilled) TRANSPORT HUB DEVELOPMENT AT TANJUNG ARU 40 acre development for residential & commercial property Electricity supply & infrastructure Sewerage system remains a challenge Manpower supply skilled labour during construction Supply of raw materials cement Generate job opportunities in hotel and hospitality industry Job opportunities for local community 20 acre will be used to develop the open/public space including the train station To extend the sewerage system and infra (KPI) Aeropod will be the next attraction for the locals outside the CBD area..

EPP 1 : MODERNIZING KOTA KINABALU CITY EPP 1 : PROJECT 08 UPGRADING OF KK CITY - BEAUTIFICATION AND REHABILITATION OF SUNGAI SEMBULAN (PARCEL 2 & PARCEL 3) Located at the vicinity of Central Business District (CBD) at Karamunsing and Sadong Jaya Upgrading of approximately 1.6km stretch of Sungai Sembulan which includes existing infrastructure and landscaping Provision of public amenity, police kiosk, CCTV and DBKK management office Several pockets of land occupied by illegal squatters Existing on-going development may not blend into the project requirement Relocation of illegal squatters Cleaning of upstream of Sembulan River and sewerage system in order to improve the water quality index (WQI) Enhancing land value of along Sembulan River Enhancing the commercial activity of Sadong Jaya New hotel being build facing Sungai Sembulan to take advantage of the landscape Encourage recreational activities for local community and visitors The real estate value alongside the Sembulan River has increased by 3 fold in the last 5 years and will continue to rise by year 2020 RM45 per sq ft 3x No beautification RM150 per sq ft ~ 6x With beautification RM825 per sq ft 2005 2010 2020 EPP 1 : PROJECT 09 EPP 1 : PROJECT 10 EXTENSION OF ENTERTAINMENT ZONE TO NEW AREAS To have a mix of fine dining, bars (international brand e.g. Hard Rock Café), Karaoke outlets, Discotheques To have a similar concept at KK Waterfront but with better quality & international cuisines (Japanese, Korean, Thailand, Western etc.) To have activities e.g. live-cooking station, street party, live performance fusion music Potential venue for Annual events e.g. Jazz Festival Another venue for Musical Fountain in KK Promotion Maintain cleanliness (esp. public amenities) Need to have high security in the area Gathering of illegal immigrants / street kids / beggars Information counters / guides Safety & Security (CCTV, Street Lights) Enough clean amenities Proper waste management Ample parking space Another attraction venue for the locals and internationals visitors GREEN CITY & LANDSCAPING PROJECT To transform KK City into a Green City to match the theme of Nature Resort City To upgrade and build new landscape areas within the city (total 5 areas have been identified) To enhance KK s Green Linkages Insufficient development fund and insufficient maintenance fund remains a big issue The GNI impact is more on spillover effects this makes it harder to secure private or public funding Prices of materials are relatively higher compared to other states To find a new CSR model for private sector to participate or contribute in the planting / beautification programme To have an awareness programme to acknowledge the indirect benefits of landscape contribution in our local and national economic development To have materials available locally To achieve the status of Nature Resort City To achieve a balanced and sustainable development between man-made features and nature To upgrade living conditions and niches of the city

EPP 2 : BOOSTING TOURISM ATTRACTIONS EPP 2 : PROJECT 01 EPP 2 : PROJECT 02 RELOCATION & REDEVELOPMENT OF PULAU GAYA To build 1,400 houses in 3 phases to cater for relocation of Pulau Gaya residents To allow Pulau Gaya to be developed as a World Class Tourism Destination Development of the new houses for the illegal squatters maybe costly The relocation plan may require strong political will Identifying the Malaysians and Non-Malaysians (some of them claim to have Malaysian IDs) Co-operation from National Registration Department to identify residents Gazetting the vacant land at Kg. Gusi and Pulau Gaya Develop Pulau Gaya into a world class tourism spot MA ANG HILL RESORT DEVELOPMENT Develop the 1st nature resort within city - overseeing Lok Kawi Bay & Mount Kinabalu (land area 70 acres) General Effective Governance & regulations Botanical garden (with 4 seasons dome), Spa Facilities To build canopy walks & herbal garden for nature walks for the visitors, jungle trekking, mountain biking (adventure sports) Location for destination wedding (vs. beach resort setting) Resort next to the Lok Kawi Wildlife Park Venue for team-building and mini conferences in a green environment Operations Cost to build Botanical Park with 4 season dome Skilled workers Bigger Road to allow big buses Road, Electricity, Water Cost to build Botanical Park with 4 season dome Skilled workers Integrates with current Lok Kawi Wildlife Park (5 minutes drive) Alternative nature resort within the KK city (Penampang area) Short destination for short stay tourist to Sabah s wildlife and botanical garden Weekend homes for international / domestic visitors EPP 2 : PROJECT 03 EPP 2 : PROJECT 04 YTL RESORT IN PULAU GAYA KARAMBUNAI INTEGRATED RESORT Located in the Karambunai Peninsula of Kota Kinabalu, Sabah, KIRC is envisioned as a premier world-class eco-tourism destination showing Sabah s rich & unique biodiversity. KIRC aims to achieve the Government s aspirations of a high income nation for Malaysia Green Showpiece Energy Efficient Buildings Reuse, Reduce, Recycle Electric/ Solar Transport Renewable Energy Source: Karambunai, Sabah 500 Sabah IR 4-10 times the size of regional IRs Scale Comparison (Acres) 121 Resorts World Sentosa 49 Marina Bay Sands 30 Venetian Iconic Architecture Water Theme Park Mangrove Center Waterfront Living Source: KIRC, TAK Design A deluxe family resort framed by lush rainforest with views of Mount Kinabalu, Pulau Gaya is surrounded by pristine white sand beaches, sheltered coral reefs and protected mangrove. Just off the coast of Kota Kinabalu, this adventure packed resort will integrate elements of traditional Sabahan architecture and feature 132 spacious standalone hill and sea-front villas and a unique Spa Village.

EPP 2 : BOOSTING TOURISM ATTRACTIONS EPP 2 : PROJECT 05 EPP 2 : PROJECT 06 DEVELOPMENT OF KOKOL HILL SOUTH CHINA SEA PLACE (SCSP) To have more eco-green home stays/ boutiques/chalets/cafes To build designated area for marketing local products (local fruits, flowers) e.g. like Pekan Nabalu To build observation deck + Canopy Walk (ala Langkawi) To have link with other tourism activities paragliding, white river rafting (Kiulu) Accessibility is good, but carrying capacity via the village road is limited. Need alternative mode to reach Kokol Hill (via cable car) Fire Bigger Road to allow big buses Participation from the locals to sell fruits/flowers, etc Ample parking space at the top of the hill Clean water supply Benefit for the MICE tourists for a short day trip for mountain viewing and experience agro-tourism Attracts another new market to KK - Para gliders Located at Sembulan covering area of 12 acres Overall Development comprises of: i. 174 Rooms Hotel ii. 433 units of condotel iii. Commercial/Retail 19.544 sq ft iv. Business Suite 14,542 sq ft v. Parking facilities for 336 Entrance to the premise from Coastal Highway Redesign of junction to entrance Construction of elevated entry/exit Provide alternative accommodation for tourists EPP 2 : PROJECT 07 EPP 2 : PROJECT 08 GONDOLA AT INOBONG SUBSTATION, PENAMPANG EXPANSION OF DIVING ACADEMY 20 mins from Donggongon Township Current activity jungle trekking, conservation studies Future opportunities : Viewing platform deck towards KK city, Study tours (historical, geographical and cultural) Potential destination for nature lovers (flora & fauna) who only have short stays in KK Need private operators to operate the place (Stakeholders Sabah Parks, Local Community) Need to be a well-managed and controlled Development that has to be in harmony with the environment Bigger access road to allow big buses Road, Electricity, Water Skilled workers Ample parking space for visitors near the entrance of the Sub Station Economic benefit Job, investment opportunities for locals Package local product (e.g.. trekking to Kg folks for homestay & create additional incentives to Kg Folks) Popularise Salt Track history Direct supply to local agro-product Showcase part of Sabah culture and promotes ecotourism To project Sabah as Asia s Centre of Excellence in Scuba Diver Training To set up a Professional Scuba Diver Training Academy in Mamutik Island which offers a complete package of accommodation and scuba diver training of all levels To offer PADI International Scuba Diving Training Certification from open water to Instructors levels The 3 acres of land lease in Mamutik is too restrictive. Need additional 2 acres Lack of infrastructure on Island Maintenance aspect ( follow ups ) To have a full fledged Academy building which houses the classrooms, auditoriums, dive shops, management office, etc To have eco friendly generators, sewage and organic waste management, water systems, etc To have an jetty on the concession zone To have good telecommunication system To have a institutionalized safety management system on island Project Kota Kinabalu as an International scuba diver training center To promote KK as an International gateway to world class dive destination in Kudat, Sandakan and Tawau /Semporna regions Increase number of visitors to the islands (both High Yield and FITs, Group Travellers) Quality training standard improved In line with the green nature city concept for KK Create awareness (education aspect) to visitors

EPP 2 : BOOSTING TOURISM ATTRACTIONS EPP 2 : PROJECT 09 EPP 2 : PROJECT 10 TANJUNG DUMPIL RESORT AND RESIDENCES Located 10 minutes away from KKIA and KK CBD 10 acres of man-made island, connected to the mainland by a 800 meter causeway bridge A development with 250 luxury hotel rooms, 56 overwater resort bungalows with 1,008 5-star rooms Comprehensive tourism development, which comprises high-end condominiums, resort-type hotels, spas, marina and other resort facilities Electricity supply & infrastructure Sewerage system remains a challenge Manpower supply skilled labour during construction Land reclamation Adequate and timely supply of raw materials (e.g. Cement, etc), availability of competent and quality supply of labour force affecting timely project delivery/completion To improve the main infrastructure to support this new development Road, Electricity, Water Skilled workers Economic benefit Jobs, investment opportunities for locals Alternative luxury accommodation for tourists WATER TAXI, SPORTS & MARITIME CENTRE Alternative transportation, lessen traffic jams & pollution Bringing water sports & recreational activities to the locals & tourists better accessibility Too many individual operators, with boats in deplorable conditions & no fixed schedule of departure Water sport & recreational activities are concentrated in TAR islands non-existent in Tg Aru Beach & Likas Bay area (within 10-15 minutes from KK City New construction & development of 10 13 jetties & 2 dry docks, acquisition of boats & water sport equipment Operating water taxi & water sports activities in Tg Aru Aru & Likas Bay Area Current upgrading & beautification works of Sembulan River will be further enhanced Additional tourism receipts for the State Adding a maritime character to the city, enhancing the tourism attraction Current upgrading & beautification works of Sembulan River will be further enhanced EPP 2 : PROJECT 11 RELOCATION & REDEVELOPMENT OF KK CENTRAL MARKET PROPOSED PLAN RELOCATION AND REDEVELOPMENT OF THE WET MARKET To enhance the beauty of the coastal of KK walkway connecting KKWC to JWC To establish a recreation park within the city near the coastline of KK To have a selected brands/services, luxury branded retail outlets (Prada, Gucci, LV, Fendi, etc) An area to view the beautiful sunset & a safe indoor playground area for kids To establish the main information centre for KK Location for new central Market for both wet & dry market or decentralized to respective market areas eg. Lido / Inanam Parking issues Control tenants occupying the area / lot i.e. only quality & branded names eg. Chillis and local names eg. Kak Nong Setting the standard Security Maintenance to be properly managed especially with cleanliness Commitment from both public & private sector An iconic attraction in the center of the centre Phase 1 Upgrading works Phase 1b Redeveloping the KK Central Site Phase 2 Relocating the KK Central Market tenants Phase 3 Demolishing the existing building with the designated site Phase 4 Private operators commence with new development site

EPP 3 : IMPROVE MOBILITY AND TRAVEL EPP 3 : PROJECT 01 EPP 3 : PROJECT 02 BUS TERMINAL WAWASAN Terminal CBD is to cater for City Bus stopover with a total capacity for 40 buses Scope of Works: Terminal Building M & Services Infrastructure Works Construction work to be carried out during operation Underground utilities within project boundary Cooperation with utility companies for timely relocation of underground services Increase transportation efficiency Encourage use of public transport BUS TERMINAL NORTH - INANAM EPP 3 : PROJECT 03 KK SOUTHERN BUS TERMINAL, KEPAYAN Open up for Northern Terminal to include all types of buses. All types of buses to stop over at this terminal. Then to interchange into a bigger capacity bus to transfer passengers to CBD terminal Project Description: Civil works Building works M&E services Pedestrian link to KKIA Terminal 1 Traveller Information System Capacity: 800 Insufficient capacity of access road to and from terminal Pending funds from federal Integrating into KK public transport system Act as a hub to centralise northern mini buses Reduce traffic congestion caused by mini buses in CBD Increase public transport efficiency Open up for Southern Terminal to include all types of buses. All types buses to stop over at this terminal. Then to interchange into a bigger capacity bus to transfer passengers to CBD terminal Project Description: Civil works: drainage access to terminal sewer line water supply EPP 3 : PROJECT 05 Building works: M&E services Pedestrian link to KKIA Terminal 1 Traveller Information System Capacity: 800 buses ONE WAY TRAFFIC SYSTEM Land issue Department Civil Aviation (DCA) against linking pedestrian bridge to Terminal 1. DCA against sharing of flight Information. Security issue due to close proximity to airport security area. Need full support from DCA Consensus from key stakeholders to enter land Federal Funding (Approved in principle) Integrating transport system with KKIA Provide alternatives mode of transportation to and from KKIA Increase transportation efficiencies Encourage use of public transport Provide new employment opportunities EPP 3 : PROJECT 04 BUS RAPID TRANSIT SYSTEM (BRT) To build designated bus way integrated into current road system acting like a LRT that stops within ~ 1 km Constructing bus stops along designated bus lane Replacing old buses (mini and stage buses) with shuttle bus (44-seater) Linking Terminal Wawasan, Terminal Inanam & Terminal Kepayan Priority signalling system One way traffic flow in CBD Distance: ~ 30km To cluster and manage current existing mini bus operators To align the bus routes Construction of the physical bus way Allocation of the physical bus way Land Acquisition/allocation Buses should be at least 10 years Provide first aid kits & fire extinguishers Appropriately trained bus drivers Creating a new ticketing system computer (eg. Octopus, EZ link) Integrated public bus system Increase public transport delivery and efficiency Decrease the waiting period Increase public bus capacity Decrease the over supply of mini buses/vans To provide systematic motorised traffic route to compliment existing road network and BRT system Have to coordinate with the inflow and outflow of vehicles during physical implementation stage Relocation of underground utilities Proper traffic management plan within CBD before implementation Cooperation within Government Agencies & Utilities companies required Reduce traffic congestion Increase transportation efficiency Encourage use of public transport Proposed one way traffic flow (submitted by DBKK) Bus Rapid Transit Example in Seoul, South Korea

EPP 4 : HEALTH TOURISM EPP 4 : PROJECT 01 EPP 4 : PROJECT 02 GLENEAGLES MEDICAL CENTRE KPJ HEALTHCARE-ACQUISITION OF SMC & DAMAI SPECIALIST 250 beds and 6 Operating Theatres 152 units Small office Home office (SoHo) 247 retail lots 118,350 sq ft 124,408 sq ft office suites High infrastructure cost High capital cost and slow return of investment. Not attractive to financier Finding reputable Hospital Operator Facilitation fund to cover part of infrastructure cost State Government support to the Hospital Project Creative development mix with commercial components for sale to partly finance the Hospital cost Availability of a reliable and reputable Medical Centre in Kota Kinabalu. The local Sabahans need not fly to Kuala Lumpur and Singapore for critical treatment Contribute to the State economy via medical tourism Creating business opportunities, property appreciation to investors and substantial job creation KPJ Group acquired Sabah Medical Centre (SMC) and KPJ is building a new RM250 million, 200 bed hospital on a 1.685 acre land. The land is bought over by KPJ and this is a 100% private investment. The new SMC-KPJ hospital is only five minutes to Greater Kota Kinabalu Delay of work progress due to climate / weather and shortage of cement in Sabah Unskilled labour shortage for construction Recruitment of medical professionals Basic infrastructure and utilities such as water & electricity Availability of a reliable and reputable Medical Centre in Kota Kinabalu. The local Sabahans need not fly to Kuala Lumpur and Singapore for critical treatment Contributes to the State economy via medical tourism Creating more job opportunities for the locals EPP 4 : PROJECT 03 EPP 4 : PROJECT 04 PUBLIC HOSPITAL UPGRADES & EXTENSION (4 HOSPITALS) PATIENT (FPP) TO BOOST REVENUE FOR GOVERNMENT HOSPITALS & PROMOTE Federal Government has approved RM1.1 billion of extension, upgrading and renovating work for four public hospitals in Greater KK Delay of work progress due to climate / weather and shortage of cement in Sabah Unskilled labour shortage for construction Recruitment of medical professionals Supply of cements Working with the immigration department to allow more foreign workers / labour to expedite the construction phase Increase the bed per population ratio from 27 to 45 (67%) by 2013 To improve the public healthcare services for the locals HEALTH TOURISM Full Paying Patients is a separate category of patients for both outpatient and inpatient services. The charges will be based on the cost and there is no subsidy. FFP will use existing facilities within the hospital. The targets are locals and foreigners including tourists and expatriates. Funding for mass promotion/marketing To produce proper detailed bills - full costs which includes equipment, consumables, human resources, amenities and the last details Classification of poor, hard core poor, government pay scales & categories, eligibilities, etc. Mass Communication (TV, Radio, Advertisements) Education & awareness to local Promote internationally through tourist agents, embassies and high commission officers, etc. Awareness as World Class healthcare Increase GNI for Healthcare sector. Create a spill over effect boosting tourists confidence in Malaysian healthcare eventually encourages health tourism Could stem brain drain Can attract specialists