Airport city profile A> Kuala Lumpur International Airport
Kuala Lumpur plans to become a destination in its own right, an international meeting place and a centre for business and entertainment.
s airports become an increasingly important link to global markets and a major determinant of a country’s competitiveness, Kuala Lumpur International Airport (KLIA)’s 6,600 hectares of land gives it a unique opportunity to establish itself as a platform for international business and trade. Dubbed the Aeropolis, the vision of KLIA operator, Malaysia Airports Holdings Berhad (MAHB), is to develop non-aeronautical revenues to their full potential with the development of commercial real estate, position the airport as a destination for international business and conferences, and tap global supply chains through cargo, warehousing and logistics facilities. But, while it is looking to maxmise the value of its available land, KLIA is also seeking to develop this with a commitment to create a well-balanced self-sustaining, multi-functional airport community enshrining KLIA’s environment principle of ‘Airport in the Forest and Forest in the Airport.’
Hence, Kuala Lumpur’s aeropolis vision will see the construction of low-rise modern structures including office blocks, hotels, a cinema and even an outdoor training camp, interlinked with landscaped parks and gardens. “Our airport city development strategy is simply to be in a position to accommodate the business and social needs of the airport. We want to attract new business and the type of non-aeronautical related activities that will draw people to the airport,” says Tan Sri Bashir Ahmad Majid, managing director and CEO of MAHB. Visitors to the airport can already experience the thrill of watching Formula
One (F1) racing at the Sepang Circuit and stay in one of five hotels located within 10km of the airport. Meanwhile, KLIA is seeking to cement its position as a leading base for low-cost carriers with the planned expansion of a permanent Low-Cost Carrier Terminal (LCCT) and its announced intention to become a ‘next generation’ hub offering seamless transfers to visitors. When it was announced that a new airport was to be built in Kuala Lumpur, concerns to keep the environmental and noise impact on nearby residents to a minimum led to it being positioned within a 10km by 10km unpopulated zone on the outskirts of the city – this decision would have huge ramifications for the airport’s aeropolis vision. With 9,808 hectares of land at its
disposal, of which just over 25% (2,429 hectares) has been developed for runways, the Main Terminal Building (MTB), satellite and low-cost carrier terminals, cargo and other support facilities, the airport was sitting on a gold mine of potential opportunities. Under KLIA’s master plan, 6,477
hectares of available real estate have been set aside for future airport expansion, commercial development, recreational activities and green/buffer zones. In its landside development plan
published in 2008, KLIA earmarked 984 hectares of land for its aeropolis project to be completed over the next 10–15 years which will transform the physical and economic landscape of the airport.
Revenue (2010 FY): Annual revenue: $598.7 million (+10.7% on 2009) Earnings before interest, tax, depreciation and amortization (EBITDA): $21.4 million (+10.1% on 2009) Aeronautical revenue: $132.3 million (+9.9% on 2009) Non-aeronautical revenue: $123 million (+14.2%)
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Fact file: Year opened: 1998 Airport size (hectares): 9,808 Total employees: 2,513 Aircraft movements: 225,251 MPPA: 29.7
Cargo volume: 650,000 tonnes Intermodal links: Road and rail Economic contribution to the surrounding region: 22,000 jobs
Key infrastructure: Terminals: 3 Gates: Main Terminal (46), LCC Terminal (33) Runways: 2
Existing airport city developments: Sepang Formula One Racing Track, Commercial Centre, Southern Support Facilities, Hotels
Future airport city plans: Commercial Centre, Integrated Business Park, Leisure and Recreational, Training Centre, Medical Centre
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Non-aeronautical segmented revenue (2010 FY): Retail: $63 million Projects, repair and maintenance: $17.1 million Hotel: $9.7 million Agriculture and horticulture: $7.5 million
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