Johor sultan triggers controversy with Perth land purchase, says paper

A snapshot of The West Australian report which revealed that the Johor sultan bought prime riverside property in Perth. – The Malaysian Insider pic, May 21, 2015.The Johor sultan has bought prime riverside property in Perth for A$8.5 million (RM24.21 million), sparking controversy in the western Australian capital, reports The West Australian.

The daily reported that the sultan emerged an unlikely player in plans to restore the historic Sunset Hospital after paying A$8.5 million for 1,993sqm of land.

The land, comprising the matron’s house, makes up only about 2% of the hospital site and
Proceeds from the sale will go to funding the redevelopment of the hospital’s heritage-listed buildings.

West Australian Premier Colin Barnett welcomed the sale but the local council, the city of Nedlands, reiterated its long-time opposition to any sale of the land – the last strip of available land in the exclusive western suburbs.

Public comments were mixed with some saying the sale would bring Perth closer to Southeast Asia, while many others were critical about foreigners buying western Australia land.

There was no comment from the sultan or his representatives on what he planned to do with the land, but speculation was that he could build a mansion overlooking the pretty Swan River.

On the sultan, Barnett told the suburban newspaper chain Community Newspapers: “It’s an interesting buyer, isn’t it? It adds a bit of spice to the story.

“I would guess he would build a residence there but who knows? He was one of the bidders and he bid at the right price. There were no special conditions, no special deals.”

Nedlands mayor Max Hipkins said he did not think A$8.5 million would go far enough to develop the site.

“You’ve got some land there that could have accommodated some short-term accommodation perhaps and provided an income stream for Sunset,” The West Australian quoted him as saying.

A comment from a reader named John on the Community Newspapers website said: “Foreigners should not be allowed to purchase property in Australia. They can lease it for up to 25 years instead. We need to ensure that Australia is owned by Australians not foreigners…”

Another from Charlotte said: “Foreigners should not be allowed to buy … the almighty $ will undo this country.”

But Johannes said on the Perth Now website:  “Good, it strengthens our links with Southeast Asia.”

The sultan’s property is part of land where a men’s home was built in 1904 to house 750 people.

Thirty-nine years later it became the Sunset Hospital nursing home before closing in 1995.

Despite numerous development plans, the site has since remained unused.

- TMI