Sabah Development Bank seeks to revive abandoned PacifiCity project

Sabah Development Bank Berhad (SDB) has clarified that it is the financier, not the registered owner, of the abandoned PacifiCity waterfront development in Kota Kinabalu. The land is owned by MAKSAK, though it is charged to SDB as security. Approximately RM300 million remains outstanding on the project.

The RM2 billion integrated development, originally launched over two decades ago, stalled in 2023 following financial difficulties faced by the developer, Pacific Sanctuary Holdings Sdn Bhd, which has since been wound up. The project is currently under the administration of court-appointed private liquidators.

SDB stated it is willing to consider a substantial reduction in its financial exposure to attract a “white knight” or potential investor to revive the development. While the liquidator has conducted tenders and engaged with government agencies and purchasers, no firm proposals have been submitted yet due to the significant capital required to complete the project.