CYBERJAYA: Malakat Mall, a shopping complex in Cyberjaya once known as the 'ghost mall', will close on July 31 after four years in operation, according to a Facebook post by the mall's founder, Fadzil Hashim.
He announced that Malakat Mall would shut down to explore a new business model but did not elaborate on the details.
Fadzil cited various challenges, including a forced closure just five days after opening due to the Movement Control Order (MCO) during the COVID-19 pandemic in March 2020, and noted that these challenges persisted beyond the pandemic.
"To mark Malakat Mall's closure, we are announcing a closing sale with discounts up to 70 per cent from July 20 to July 31," he said.
Malakat Mall was initially established to empower Muslim entrepreneurs by offering business spaces without requiring contracts.
It gained attention in late 2022 after a TikTok video showcased how deserted the shopping complex was.
In 2022, Fadzil reportedly said that he and his partners had invested RM40 million into redeveloping the mall.
Despite generating revenues of RM17 million to RM25 million in its first two years, the mall struggled to maintain sustainability.
According to market experts, although the mall comprises well-stocked shops and a food court with natural light streaming into the pristine space, it is not appealing to non-residents of Cyberjaya.
"People are not going to drive 30 minutes to Cyberjaya just to go to the mall," he told NST Property.
Cyberjaya, Malaysia's ambitious attempt to create a technology hub akin to Silicon Valley, was developed in 1997 as the brainchild of former Prime Minister Tun Dr. Mahathir Mohamad, who wanted to build a "multimedia economy.".
However, over the years, it faced several challenges that hindered its success.
The city, now home to over 100,000 residents, is often labelled a "failure," with limited signs of the anticipated tech boom.
Rather than hosting unicorn startups and major tech offices, Cyberjaya has evolved into a residential area known for affordable rent and a low-cost living environment, marked by pockets of nearly deserted spaces, in stark contrast to the typical Silicon Valley image.