Domestic private investments can revitalise idle assets, says Johari

KUALA LUMPUR: Domestic private investments can revitalise idle assets and boost local economic ecosystem, said Investment, Trade and Industry Minister Datuk Seri Johari Abdul Ghani.

He said the redevelopment of Brisdale International Hotel is an example of a domestic investment realised by a local company, rather than merely being a proposal or plan on paper.

"It is a private capital investment undertaken by a wholly locally owned company, with the risks and responsibilities borne entirely by the investor," he said while officiating the launch of the hotel.

Johari said such investments require entrepreneurs to have the courage and capability to carefully assess risks before a project is implemented.

"Entrepreneurs need to be brave enough to take risks, but those risks must be calculated. In any investment field, entrepreneurs must be adept at calculating risk," he said.

He noted that redeveloping existing buildings is more challenging than constructing new ones on vacant land as investors must understand the structural condition and determine the necessary work.

Johari added that Zikay Group's expertise and experience as a contractor also assisted the company in assessing the costs and requirements for the building's redevelopment.

He noted that the opening of the hotel represents a significant development for the community surrounding Jalan Raja Bot as it fosters an economic ecosystem involving diverse business activities.

He said the hospitality sector is closely linked to the tourism industry, which contributes approximately RM300 billion or 15 per cent to the national economy and generates around 3.5 million jobs.

"When a hotel is located within a business district, the level of economic activity in the area rises and the entire ecosystem continues to grow," he said.

Brisdale International Hotel Kuala Lumpur is developed and managed by the Zikay Group through its subsidiary Brisdale International Sdn Bhd.

Meanwhile, Zikay Group managing director Datuk Mohd Khay Ibrahim said the group invested over RM100 million over a four-year period to acquire and redevelop the building into a modern hotel.

He added that the hotel now offers 300 guest rooms and a range of modern facilities to meet the needs of both domestic and international visitors.

"More than 150 staff members are currently fulfilling this role, and almost all of them are locals," he said.

Khay noted that the economic impact of the hotel's operations extends beyond its own premises, benefitting food stalls, traders at the Raja Bot Market, and shops along Jalan Tuanku Abdul Rahman.

"Every time a room welcomes a guest, an economic chain is set in motion extending from the breakfast stall at the end of the street and the traders at Raja Bot Market to the shops along Jalan Tuanku Abdul Rahman.

"This is the true meaning of economic spillover. It is not merely a term recorded in annual reports, but a source of livelihood flowing directly into the hands of the community and small-scale traders," he said.

He added that given its location in Kampung Baru and its connectivity to the public transport network, Raja Bot has the potential to be developed into a unique heritage and business precinct without losing its soul and authenticity.