THE annual lease for the two archways at The Octagon Ipoh has been reduced to RM240 following talks between Perak Chinese Chamber of Commerce and Industry (PCCCI) and Ipoh City Council (MBI).
The archways form the entrance to the 23-storey commercial and residential tower in Jalan Raja Ekram.
PCCCI president Datuk Liew Chee Ming said the revised agreement, approved by Ipoh mayor Zamakhshari Hanipah, secures a 10-year lease at RM240 per year.
The total bill for 2025 and 2026, including Sales and Service Tax, amounts to RM497.60.
Liew said MBI had also agreed to refund the RM10,000 security deposit previously paid and replace it with a deposit rental, amounting to RM60.
“The reduction eases the chamber’s financial burden and allows us to channel more resources towards cultural promotion, community service and supporting the business community,” he said in a press conference at Wisma Octagon.
The project dates back to 2022, when PCCCI secured approval from MBI to build the archways, that are officially named Gerbang Perniagaan Paloh.
They stand as a tribute to early Chinese pioneers who helped build the city.
Liew said MBI initially imposed an annual rental of RM22,950, and the chamber paid a RM10,000 security deposit in May 2022.
Talks with the previous mayor saw the lease dropping to RM15,700 in recognition of the chamber’s non-profit status, and then to RM8,600 after PCCCI added more parking spaces to meet city council requirements.
However, the chamber received a letter from MBI on April 1 requesting RM35,030.66 in back rental and tax for 2023 through 2026.
“This placed a heavy financial burden on the chamber, which spends about RM30,000 annually on maintenance, electricity and public liability insurance for the archways,” Liew said.
He thanked Housing and Local Government Minister Nga Kor Ming, Zamakhshari, Ipoh city councillor Tang Cheng Wei as well as other MBI councillors and officials for helping to resolve the matter.
He said the outcome reflected the local authority’s willingness to listen to civil society organisations and find a reasonable solution.
Tang thanked PCCCI for funding and building the two archways that are popular tourist attraction and have enhanced Ipoh’s cultural landscape.
