Malaysia Completes Merdeka, World’s 2nd Tallest Skyscraper at 678.9m Amid Concerns Over Demand

• 8 October 2024
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Malaysia has added yet another architectural marvel to its skyline with the completion of the 678.9-metre Merdeka 118, now the world’s second-tallest building, following only Dubai’s Burj Khalifa. The towering structure, which will be fully open to the public later this year, further cements Kuala Lumpur’s position as a city of super-tall skyscrapers. However, the rapid growth in high-rise development is sparking concerns about the demand for property in a city with a population of just two million and an increasing number of vacant offices and homes.

These concerns have been raised amidst ongoing construction efforts driven by real estate investors and national ambitions to project strength and progress through towering buildings. Prime Minister Anwar Ibrahim addressed the issue last month, calling for a shift towards more practical developments such as affordable housing, local shops, and restaurants.

Despite these concerns, Kuala Lumpur is home to more super-tall buildings than all but seven other cities worldwide, with Merdeka 118 surpassing Shanghai Tower thanks to its extended spire. Architect Mustapha Kamal Zulkarnain, an expert in resilient cities, pointed out the relentless pursuit of real estate development, stating, “We’re building as if nobody’s checking on the demand.”

Malaysia’s skyscraper boom began in the 1980s, fuelled by former Prime Minister Mahathir Mohamad’s ambitious infrastructure projects aimed at promoting rapid economic growth and positioning Malaysia as a global competitor. This mindset culminated in the construction of the iconic Petronas Twin Towers in 1996, which briefly held the title of the world’s tallest buildings and symbolized Malaysia’s rise on the global stage. Carmelo Ferlito, CEO of the Centre for Market Education, commented that Mahathir’s approach to using large-scale projects to demonstrate power and progress was typical of his leadership style.

Today, however, with many skyscrapers and limited demand, Malaysia’s construction of monumental towers continues to raise important questions about urban planning and the real estate market’s future direction.

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