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Y. J. Foo

Subang Skypark Development Including New RM 1.5 Billion KTM Rail Link

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Just the capability to handle. Doesn't mean anything.

From MAHB standpoint, they would not want SZB to be able to handle A320/737 at risk of cannibalizing KUL.

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6 hours ago, jani said:

Just the capability to handle. Doesn't mean anything.

From MAHB standpoint, they would not want SZB to be able to handle A320/737 at risk of cannibalizing KUL.

Capacity will be highly regulated as operating hours may be restricted. With supply being limited, air fares ex-SZB will be higher. Right now, you will note that even turboprop flights cost more even though their operating cost is lower. Pax like it when you don't have to turn up for your flight hours before departure. Most regular travellers will turn up less than an hour before departure. For that, they are willing to pay premium fares.

So, expanding SZB to handle A320/B737 class aircraft will probably mean business class pax will prefer to fly out from this airport. It may cannibalise some traffic from KUL but I think there will be sufficient leisure travellers to take up the slack.

With the T1/T2 name change announcement, it now makes a lot of sense why SZB re-development is now approved. MoT is looking at the two airports as a single resource pool to handle all traffic coming in and out of the Klang Valley. Both airports will grow when the traffic comes in.

Edited by flee

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3 hours ago, Alif A. F. said:

Would love to have jet flights (again) from SZB to East Malaysia. That would cut door-to-door travelling time by at least 1 hour.

It really depends on where you live. For me on a clear road at 6am I save about 25-30 mins going to SZB. 

Returning home on Friday night is about 15-30 mins saved and no option of taking the train if there are mega jams or no taxi's.

 

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Good move but noise pollution to the surrounding housing areas, 

I think they may have restricted and limited slots as well as aircraft type for flights operating from SZB or else it will see the lower numbers at KUL

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3 hours ago, kandiah k said:

Good move but noise pollution to the surrounding housing areas, 

I think they may have restricted and limited slots as well as aircraft type for flights operating from SZB or else it will see the lower numbers at KUL

I guess that means air fares might be pricier.

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7 hours ago, kandiah k said:

Good move but noise pollution to the surrounding housing areas, 

I think they may have restricted and limited slots as well as aircraft type for flights operating from SZB or else it will see the lower numbers at KUL

Currently, the loudest jets are those B767s operated by Raya Airways. Private jets are not that noisy while A320/B737 are not that bad.

Perhaps, they can insist that only Neos and Maxs are allowed.

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17 hours ago, flee said:

Currently, the loudest jets are those B767s operated by Raya Airways. Private jets are not that noisy while A320/B737 are not that bad.

Perhaps, they can insist that only Neos and Maxs are allowed.

I imagine that during the heydays of 707s, 727s and early 737 classics (those with turbojets), the noise pollution would be far greater intensity than compared with today's turbofans.

I remember during my stay in Penang. I stayed near the airport. One day I was startled by the noise of a 707 departing, very noisy indeed, almost like a thunder jolt. Then, it was followed by a 777, but the noise generated is far lesser and smoother, yet its a significantly larger aircraft. Goes to show how far aircraft powerplant technology has improved.

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I remember the days when a 737-200 took off from BKI during quiet of night and the whole town got to know about it 😆

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In the era when Subang had turbojets and low bypass turbofans, noise was very high. But Subang was not densely populated and the areas beside the airport highway werel still oil palm estates. The Comet 4C, B-707. VC-10, IL-62 and Convair 880 were not only noisy, they left a huge black smoke trail! It is rare to see this nowadays unless you have a B-52!

Edited by flee

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From the NST: https://www.nst.com.my/business/2023/04/900935/wct-work-mahb-rm13bil-subang-airport-regeneration

 

KUALA LUMPUR: WCT Holdings Bhd will work with Malaysia Airports Holdings Bhd (MAHB) to revamp the Sultan Abdul Aziz Shah Airport (Subang Airport) in Subang Jaya, Selangor, at a cost of RM1.5 billion over three years.

Public Investment Bank Bhd (PublicInvest) disclosed this today following its recent meeting with WCT's management.

"We are enthusiastic over positive developments within the (WCT) group, including the much-anticipated Subang airport regeneration project.

"Assuming a 70 per cent stake in the joint venture, this project will add about RM1.1 billion to its current order book, making up 70 per cent of our financial year 2023 (FY23) order book replenishment assumption," it said

PublicInvest said works would be carried out in two phases, beginning with Terminal 2 followed by Terminal 3. Both terminals will be demolished and rebuilt to accommodate roughly three million passengers.

 "All in all, we anticipate an official announcement regarding this project to be divulged soon, before the end of 2QFY23," it added.

Considering a high single-digit margin, the project is expected to contribute RM28 million on average to WCT group's bottom line in FY2024 to FY2026.

MAHB released its Subang Airport Regeneration concept master plan in April 2021, which included rebuilding the ageing airport into a city airport capable of serving around five million passengers per year.

Plans to reconstruct the airport stagnated when WCT presented a rival proposal to the government just a month earlier.

The proposed redevelopment was further delayed by the December change in administration, which saw former transport minister Datuk Seri Dr Wee Ka Siong replaced by Anthony Loke Siew Fook.

On Feb 6 this year, Loke said the cabinet had approved the Subang Airport Regeneration Plan and that MAHB had been chosen to oversee the airport's redevelopment.

Loke said the actual business plan would be finished by MAHB and submitted to the transport ministry before being re-tabled to the cabinet for approval.

He also reportedly confirmed that WCT's proposal was no longer being considered.

"The Subang Airport Regeneration plan was drawn up by MAHB, so MAHB will lead in terms of the entire master plan. And whichever party MAHB wants to work with, that is entirely up to them," he said at an event in Feb.

WCT now runs the SkyPark Terminal through its subsidiary Subang Skypark Sdn Bhd (SSSB) under a 30-year sublease concession deal with MAHB that expires in December 2037, with an option to extend for another 29 years.

The property and construction group proposed redeveloping Subang Airport into a city airport, similar to MAHB, with 7.5 million passengers per year for RM3.7 billion over 10 years.

It also requested the right to directly operate Subang airport and the surrounding federal land for 50 years under a new concession agreement with the government.

 

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35 minutes ago, Robert said:

From the NST: https://www.nst.com.my/business/2023/04/900935/wct-work-mahb-rm13bil-subang-airport-regeneration

KUALA LUMPUR: WCT Holdings Bhd will work with Malaysia Airports Holdings Bhd (MAHB) to revamp the Sultan Abdul Aziz Shah Airport (Subang Airport) in Subang Jaya, Selangor, at a cost of RM1.5 billion over three years.

Public Investment Bank Bhd (PublicInvest) disclosed this today following its recent meeting with WCT's management.

"We are enthusiastic over positive developments within the (WCT) group, including the much-anticipated Subang airport regeneration project.

"Assuming a 70 per cent stake in the joint venture, this project will add about RM1.1 billion to its current order book, making up 70 per cent of our financial year 2023 (FY23) order book replenishment assumption," it said

PublicInvest said works would be carried out in two phases, beginning with Terminal 2 followed by Terminal 3. Both terminals will be demolished and rebuilt to accommodate roughly three million passengers.

 "All in all, we anticipate an official announcement regarding this project to be divulged soon, before the end of 2QFY23," it added.

Oh dear, of all the REITs companies in Malaysia and abroad, why WCT? Haven't we seen enough of how badly Paradigm Mall and KLIA Terminal 2 aka KLIA2 are?

Edited by JuliusWong

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41 minutes ago, JuliusWong said:

Oh dear, of all the REITs companies in Malaysia and abroad, why WCT? Haven't we seen enough of how badly Paradigm Mall and KLIA Terminal 2 aka KLIA2 are?

Bki terminal 1 and runway extension delay was also their fault. 

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22 hours ago, Robert said:

From the NST: https://www.nst.com.my/business/2023/04/900935/wct-work-mahb-rm13bil-subang-airport-regeneration

KUALA LUMPUR: WCT Holdings Bhd will work with Malaysia Airports Holdings Bhd (MAHB) to revamp the Sultan Abdul Aziz Shah Airport (Subang Airport) in Subang Jaya, Selangor, at a cost of RM1.5 billion over three years.

On paper: It will look like Pavilion Bukit Bintang. Upon completion: It looks like Paradigm Kelana Jaya. They aren't the best developers out there even for their Pavilion brand. Everyone thinks their Pavilion brand is akin to their Bukit Bintang project but from what I read, most are disappointed with WCT/Pavilion brand upon VP

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Loke: Subang airport redevelopment business plan has been approved

SEPANG: The Ministry of Transport has recently obtained an approval on the business plan proposal for the redevelopment of Sultan Abdul Aziz Shah Airport (SAAS) from the Cabinet. 

Transport Minister Anthony Loke said the launching ceremony of the airport development plan as well as the design and details of the regeneration would be revealed within the next one month.

https://www.nst.com.my/business/2023/06/925823/loke-subang-airport-redevelopment-business-plan-has-been-approved 

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It appears that MOT is expecting jet service to resume at SZB around June 2024. Phase 1 of the redevelopment includes 5 jets (737/320) and 6 ATR bays. I haven't been to SZB recently - is there a lot of construction going on there?

I assume that there'll be a new terminal built soon too?

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14 minutes ago, Craig said:

It appears that MOT is expecting jet service to resume at SZB around June 2024. Phase 1 of the redevelopment includes 5 jets (737/320) and 6 ATR bays. I haven't been to SZB recently - is there a lot of construction going on there?

I assume that there'll be a new terminal built soon too?

I was there a few weeks ago and didn't see anything happening apart from the maintenance hangers 

 

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First phase apparently ready by this june will include 4 737/a320 bays around skypark. So apparently they will redraw and apply apron ramp strengthening. 

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35 minutes ago, Craig said:

It appears that MOT is expecting jet service to resume at SZB around June 2024. Phase 1 of the redevelopment includes 5 jets (737/320) and 6 ATR bays. I haven't been to SZB recently - is there a lot of construction going on there?

I assume that there'll be a new terminal built soon too?

Yes 3 737's by OD initially by June followed 3 by FY 737s later this year.

New terminal will be ready by 2026. 

Edited by Pall

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Oh dear, Phase 3 the capacity will be expanded to 8 million. RIP Jalan Lapangan Terbang Subang.

Btw, doesn't the MAHB senior general manager for strategy knows that Batik Air has stopped their ATR services last month? And they have made it clear they are not coming back to SZB with jet services? The whole NST article doesn't give any confidence any Malaysia-based airlines are interested in commencing jet service in SZB. MAG CEO Captain Izham last year has stated they need to engage with industry players and policymakers to avoid cannibalisation. Batik Air CEO also said they won't be returning to SZB. Really don't know what is happening behind the scene.

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Drove past the airport a few weeks ago, the area across the the airport, those ex-Malaysia Airlines buildings, and sports complex are now all hoarded up. 

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2 hours ago, JuliusWong said:

Oh dear, Phase 3 the capacity will be expanded to 8 million. RIP Jalan Lapangan Terbang Subang.

Btw, doesn't the MAHB senior general manager for strategy knows that Batik Air has stopped their ATR services last month? And they have made it clear they are not coming back to SZB with jet services? The whole NST article doesn't give any confidence any Malaysia-based airlines are interested in commencing jet service in SZB. MAG CEO Captain Izham last year has stated they need to engage with industry players and policymakers to avoid cannibalisation. Batik Air CEO also said they won't be returning to SZB. Really don't know what is happening behind the scene.

SKS and perhaps Singapore's Scoot will. Wouldn't be surprised if AK wants to return as well.

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7 minutes ago, Robert said:

SKS and perhaps Singapore's Scoot will. Wouldn't be surprised if AK wants to return as well.

SKS Airways is now dead though, not sure if we can resuscitate it back as 'Frankenstein'. For Scoot, their flight are sold as SQ flight as well, not sure if SQ will bite the bullet, unless they set up a different team to handle flight to and from SZB. Also, SQ/MH are in JV, that would be complicate. The only party I can see taking up the offer is AirAsia, but they won't be able to offer FlyThru services. I can see them flying SZB-PEN, LGK, KBR, KCH, BKI, DMK/BKK, SIN and CGK. They would earn a bomb with these routes.

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