MISC Berhad has secured its long-term presence at Menara Dayabumi after signing a tenancy agreement worth an estimated RM433 million with its major shareholder, Petroliam Nasional Berhad (PETRONAS).
The shipping giant said the agreement, signed on June 4, provides for an initial three-year tenancy with automatic renewal for four additional three-year terms, giving the group occupancy rights for a total of 15 years.
MISC, which has maintained its corporate headquarters at Menara Dayabumi since 1999, currently occupies 16 floors in the landmark building and serves as its anchor tenant.
The company said the long-term arrangement would provide stability for its headquarters operations while strengthening its corporate identity and branding within one of Kuala Lumpur’s most recognisable commercial buildings.
Under the agreement, PETRONAS has committed to undertaking comprehensive upgrades to the building’s common areas and facilities. The enhancement programme is expected to improve operational efficiency, user experience and compliance with current safety and sustainability standards.
The total tenancy value is estimated at RM433 million over the 15-year period. Rental rates for the first two tenancy terms will remain fixed, while rates for subsequent terms will be determined based on prevailing market values assessed by an independent valuer and agreed upon by both parties.
MISC will also have the flexibility to sub-let office space to its holding company, subsidiaries or affiliated entities. The agreement further allows the group to install signage within common areas and on the building’s exterior, subject to PETRONAS’ approval.
The rental rates were benchmarked against an independent valuation conducted by IM Global Property Consultants Sdn Bhd, which compared Menara Dayabumi with similar Grade A office buildings in the surrounding area.
PETRONAS currently holds a 51% stake in MISC, making the tenancy arrangement a recurrent related-party transaction under Bursa Malaysia’s listing requirements.
