KOTA KINABALU: Over 230 investors of the Kota Kinabalu Waterfront project here are seeking justice over unpaid rental of over RM38 million, as promised to them by guarantors.
Calling themselves the “Oceanus 50,” the group said that commercial units at the Oceanus Mall were sold on a “lease back” basis, with rental payable to purchasers under the tenancy agreements and guaranteed by Sunsea Development Sdn Bhd (Sunsea).
Sunsea is the developer of the project, Phase 1 of which comprises the Oceanus mall, the Marriot Hotel and the Pelagos Designer Suites; while Phase 2, which has yet to be launched, includes the UNCHR market.
The project is a joint venture between Sunsea and DBKK Holdings Sdn Bhd (DBKK), which owns the land.
The leader of the Oceanus 50, Datuk CK Tan, said that the developer owes purchasers a staggering RM38,787,344.74 in unpaid rental as of Dec 31 last year.
“In June 2016, we met with the Mayor and briefed him on the late rental payment. (He) had agreed that Phase 2 of the project should not be assigned, or even commence (until the payment problem is resolved).
“(But) sometime in late 2017 or early 2018, we believe DBKK gave its consent to Sunsea (to assign) Phase 2 of the project to Sunsea Development (Sinsuran) Sdn Bhd,” he said during a press conference held at the Oceanus mall here today.
Tan, who is also one of the purchasers, said the Oceanus 50 has engaged a legal team and will reach out to political leaders to find solutions to the issue, including the recovery of investors’ money and future rentals.
He added that another objective of the group is to urge the Land and Surveys Department to expedite the issuance of individual subsidiary titles to purchasers.
“We are looking for justice, as some of us had to sell off our houses or take out loans in hopes of securing good retirement funds from the investment of this project,” Tan added.