Thomson Medical unveils S$5.5 billion Johor Bay project, to include private hospital & 5-star hotel

Thomson Medical Group has launched an integrated healthcare and commercial mega project in Johor Bay, Malaysia, Reuters reported on Aug. 26.

According to a statement released by the healthcare company, the RM18 billion (S$5.5 billion) project will include the private 1,000-bed Thomson Hospital Iskandariah, specialist suites, aged care facilities and a medical research centre.

Spanning 10.52 hectares, the compound will also comprise commercial properties, such as a five-star hotel and a 47-storey luxury residential tower.

Shares soared 39 per cent after the announcement.

"Marina Bay" of Johor

The project, known as Johor Bay, will be among Southeast Asia's largest of its kind, Thomson Medical said.

They also called it the "Marina Bay" of Johor.

It will be located minutes from the Causeway and 1.2km from the upcoming Rapid Transit System (RTS) train system in Bukit Chagar, Johor Bahru, which is set to be completed by the fourth quarter of 2026.

It will also be close to ferry terminals connecting Johor to Indonesia's Batam and Riau Islands.

The facility will be built in phases, with the first phase set to open after the RTS Link system at the end of next year.

The Star reported that it will comprise parts of the private hospital and the residential tower with 180 units, valued at RM3.1 billion (S$9.4 billion).

This phase is reportedly projected to generate more than 1,200 jobs during its construction and operation.

As part of the Johor-Singapore Special Economic Zone (JS-SEZ), the facility will contribute to the zone's broader goal of creating 20,000 skilled jobs within five years.

Thomson Medical Group's executive vice-chairman Kiat Lim said the project is designed with medical tourism in mind, while still being centred on healthcare.

He added that Malaysian doctors will be engaged to practise at the facility, alongside Singapore-based specialists and Southeast Asian medical professionals, according to The Straits Times.

While Singapore's healthcare costs remain high, the facility's location across the Causeway will tap on cross-border patient demand with a greater supply of land, talent and infrastructure at lower costs, he added.

Profits from the first phase of Johor Bay will also be used to fund the development of subsequent phases.

Ageing population

The project's launch comes alongside a rise in Southeast Asia's ageing population, the World Health Organisation (WHO) has reported.

With longer life expectancy and declining birth rates, WHO projects a significant increase in the proportion of people aged 60 and above between 2024 and 2050.

Lim, the son of Singaporean billionaire Peter Lim, also added that "the time is right - economic tailwinds, infrastructure momentum, and demographic shifts are converging."

"Johor Bay will shape the skyline and future of the JS-SEZ for years to come."

Top image via Thomson Medical Centre