The mall’s developer Astaka Holdings described it as a “lifestyle retail” shopping centre. It will be part of a RM1.2 billion (US$290 million) mixed-use development alongside residential skyscraper Arden, and is expected to be completed by 2030.
In August, the developer inked an agreement appointing Singapore real estate giant CapitaLand Investment Limited as a retail adviser, covering asset planning, pre-opening and post-opening stages of the project.
However, Astaka Holdings did not disclose details on gross floor area or retailers expected at OBS Mall.
In addition, the Bukit Chagar RTS Link station itself is set to be a mixed-use development costing RM2.6 billion with a mall, hotel and apartments.
The 1.71-ha development, a public-private partnership between Malaysia’s Mass Rapid Transit Corporation (MRT Corp) and local conglomerate Sunway Group, is set to be built over about eight years.
Real estate consultant and urban planning analyst Tan Wee Tiam, who is executive director with Johor boutique firm Olive Tree, told CNA that the revamp of retail malls in the area and new malls coming up are an example of the “market moving in anticipation of the most disruptive cross-border connectivity upgrade Johor Bahru has ever seen” – the RTS Link.
“With the RTS set to go live soon, pedestrian traffic and urban vibrancy in the city core are expected to scale dramatically. As a result, footfall to JB will increase drastically,” said Tan, referring to the city by its popular acronym.
“This new gateway will effectively turn the surrounding district into a high-velocity catchment funneling daily commuters, weekend explorers and international visitors into one highly concentrated urban node,” he added.
However, some mom and pop stores operating in malls have voiced concerns that they may be phased out as the developments undergo upgrades or seemingly target high-end retailers.
A pushcart retailer at City Square mall, who does eyebrow shaping and wanted to be known only as Lum, told CNA that following the mall’s redevelopment, she will no longer be able to operate there.
“I’ve been told to relocate, and likely have to find a new home,” said Lum, who has been operating in City Square mall for 20 years.
“I think I might move to KSL mall (located about 3km away in Taman Abad) but the foot traffic there is much less than here. It is also further from the RTS so likely fewer customers,” she added.
Salesperson Mira Muhammad Zahid, who works for another retailer which sells local perfume products on a pushcart in City Square mall, told CNA she is also unsure if the business will be permitted to operate again as the current lease expires in five months.
https://www.channelnewsasia.com/asia/johor-jb-shopping-mall-retail-city-square-rts-sez-5459881
