Former Olympic Council of Malaysia (OCM) deputy president Datuk Seri Abdul Azim Zabidi has expressed his “deep concern” over the RM103 million land swap deal to relocate the Council’s headquarters.
Azim, who served the Council from 2018-2021, said the arrangement raises serious questions about OCM’s financial prudence and long-term sustainability.
It was widely reported that under the deal, Malaysian Resources Corporation Berhad (MRCB) will construct a new RM93 million headquarters in Bukit Jalil, Kuala Lumpur, in exchange for OCM’s current premises, Wisma OCM, located on Jalan Hang Jebat in the heart of the city centre. Additionally, OCM is required to pay RM10 million to the Stadium Board for a 30-year sublease on the new parcel of land.
“Most perplexing is the absence of any cash benefits to OCM, despite Wisma OCM being valued at RM132 million,” Azim said in a statement today.
“The valuation used in the swap is reportedly lower due to plans to demolish the existing building. This is not merely a matter of infrastructure – it is about making strategic, sustainable decisions for OCM’s future.”
He added that instead of gaining financial resources, OCM is incurring additional costs and risks.
“Once the sublease expires after 30 years, the organisation may be forced to vacate the new premises, potentially facing further financial and operational disruptions.
“I am particularly concerned about the lack of a cash component in the deal, especially when OCM needs substantial funding to support various International Olympic Committee initiatives.”
Azim urged OCM to consider reopening discussions with its neighbour, PNB Merdeka Ventures – the developer of the nearby Merdeka 118 tower – to explore a more strategic location with better financial returns.
“Alternatively, OCM could consider constructing a more affordable headquarters, potentially integrated with a two-star hotel, allowing surplus funds to be reinvested into operations and human capital development.”
He said that given Wisma OCM’s RM132 million valuation, the transaction should be on an “as is where is” basis, without any obligation on OCM to repair or rectify the existing building, and that responsibility for the property’s condition should be transferred to the buyer.
“OCM should either receive a new facility of equal worth or opt for a more cost-effective solution that enables reinvestment into its core mission.
“This includes strengthening its management with professional staff, running impactful programmes on behalf of the Olympic Movement, and providing financial grants to support its 58 member associations.”
Azim said OCM is right to want to build an image befitting its status as the national Olympic body but must also focus on modernising its management, investing in human capital, and ensuring long-term financial sustainability for its members, especially in these challenging economic times.
“Under these circumstances, OCM may proceed with a land swap deal as long as it is economically viable for the umbrella body in terms of increasing its cash reserves, not by depleting its savings,” he added.
The Malaysian government allotted the Council the land at Jalan Hang Jebat on a 99-year lease. A nine-storey building, Wisma OCM, complete with parking bays, was constructed in 1991. An MRT station (Merdeka) sits right at its doorstep.
OCM decided it was time to relocate in 2021. According to a valuation done in 2020, OCM stood to pocket some RM100 million from the sale of the land.
In 2023, OCM president Tan Sri Norza Zakaria said the Council needed the government’s support for the deal, adding that the developer would build OCM a new building and a museum, similar to the International Olympic Committee headquarters in Lausanne, Switzerland.
“We need to upgrade our museum and Hall of Fame to allow more Malaysians to visit. Right now, Wisma OCM itself is like a museum … it is too old,” he was quoted as saying then.
