Beyond office space: Raising the bar

When IOI Properties Group Bhd (KL:IOIPG) developed IOI City Tower 1 & 2 (IOI City Towers), the goal was never just to build office towers. It was to create iconic, sustainable business addresses within a thriving ecosystem. A decade on, that vision has not only materialised but also earned recognition, winning Gold at The Edge Malaysia Best Managed & Sustainable Property Awards 2025 under the Below 10 Years — Non-strata Office category.

“This recognition is a powerful validation of the effort of the entire team at IOI Properties Group,” says IOI Properties chief operating officer of property investment Chris Chong. “It is a great acknowledgement for Team IOI. We are pleased to see our commitment acknowledged at this level.”

The pair of 31-storey Grade A office towers is located in the heart of IOI Resort City in Putrajaya. They were completed in 2016 and have been Green Building Index (GBI) certified since 2021. Both towers were upgraded to GBI Silver status on May 27, 2025 — a milestone that reflects the group’s pursuit of sustainability excellence.

Tower 1 has a gross floor area (GFA) of 572,583 sq ft and a net lettable area (NLA) of 485,613 sq ft. Tower 2, meanwhile, has a GFA of 575,705 sq ft and an NLA of 482,136 sq ft.

“IOI City Towers has floor plates that are spacious, allowing for flexible space planning as well as maximised and cost-efficient space usage. The offices’ versatile layout is aimed at accommodating increasingly dynamic workplaces to suit evolving work patterns,” says Chong.

These towers were not envisioned as standalone assets but as part of a broader, integrated development. “IOI Resort City is a 788-acre township master-planned by IOI Properties Group Bhd. This direct control allows us to seamlessly integrate an unparalleled array of amenities, right at our tenants’ fingertips,” he says.

Located adjacent to IOI City Mall, which has a myriad of retail, leisure and F&B offerings, the office towers benefit significantly from a full ecosystem that supports both business productivity and lifestyle needs.

“This unique offering is a massive differentiator, providing our tenants, from growing SMEs (small and medium enterprises) to established MNCs (multinational corporations), with incredibly convenient access to essential services and amenities. It directly enhances their suitability to attract and retain top talent,” says Chong.

“The success is evident in the significant increase in average occupancy (from 50% to 83% as of June 2025) across our office towers over the past 15 months. This also correlates with the strategic expansion of IOI City Mall’s NLA with the launch of Phase 2 in August 2022, as well as its enhanced product offerings, demonstrating the value of our integrated approach.”

Building for today and tomorrow
IOI Properties head of office segment Joanne Ang highlights that the vision for IOI City Towers is to be future-ready. “They were envisioned from the outset as premier office addresses, equipped with high-performance infrastructure to meet the evolving needs of modern businesses.”

She notes that the design and management approach focus not just on operations but also on anticipating tenant needs. “What truly distinguishes us is not just the physical asset, but the people behind it. Our building management team is deeply committed to delivering consistent service quality that aligns with the expectations of a Grade A office environment.”

This commitment is evident in the team’s proactive efforts on sustainability and comfort. “Whether it’s through energy management, sustainability initiatives or tenant engagement, our team is constantly exploring ways to improve the functions and processes of building management and the experiences and well-being of our tenants,” Ang says.

To boost the towers’ sustainability, the developer has adopted several initiatives. “Motion sensors are deployed in common areas to reduce electricity consumption. Other initiatives include utilising double-glazed glass for the façade to minimise heat infiltration, the usage of high-speed lifts with regenerative drives to capture and reuse energy produced during descent and optimising the layout of the office towers to maximise natural sunlight,” she adds.

Ang emphasises that the company is attuned to evolving expectations and industry best practices, with the ultimate aim of delivering long-term value and maintaining IOI City Towers as a preferred office destination.

Security is also robust. The towers implement a four-tier security system covering prevention, detection, response and recovery. On the cybersecurity front, IOI City Towers regularly reviews its network protection strategy and maintains compliance with the Personal Data Protection Act 2010.

“In essence, IOI City Tower 1 & 2 stand proudly as the head offices of IOI Properties Group and IOI Corp Bhd (KL:IOICORP), representing the group’s commitment to excellence, responsibility and long-term partnership with our stakeholders,” says Ang.

Raising the bar on maintenance
A key strength of IOI City Towers is its good maintenance culture. Inspections and works are carried out regularly, says Chong. “We are committed to ensuring quality both before and after tenants commence their business operations. We aim to maintain high standards by conducting routine cleaning and pest control in common areas. Once a tenant occupies a space, we ensure that all M&E (mechanical and electrical) and structural design drawings submitted by the tenant are properly stamped and endorsed by professional engineers.”

As part of its preventive maintenance strategy, IOI City Towers has implemented a comprehensive schedule to ensure the safety and functionality of equipment in common areas.

“To enhance efficiency, IOI City Towers has digitalised the maintenance process by utilising a real-time reporting and monitoring application, Servedeck. This enables faster response times and ensures a high-quality experience for both tenants and visitors,” says Chong, highlighting that malfunctioning equipment is attended to within strict timelines.

A structured annual plan governs all maintenance activities. This includes a Planned Preventive Maintenance programme with 100% fulfilment rates. “Our management committee is also guided by strict KPIs (key performance indicators),” says Chong.

“This drives continuous improvement and ensures accountability across the board. This structured approach, combined with our overarching ethos, drives our meticulous attention to detail, ensures rigorous schedules, fosters continuous upgrades and instils an unwavering culture of accountability and precision across all our properties. It’s how we build lasting value and trust.”

Turning challenges into opportunities
To manage an asset of this scale is no walk in the park. “We address [the challenges] head on,” says Chong.

First, he notes a growing emphasis on green-certified buildings. “Policies promoting sustainability and energy efficiency are driving strong demand for higher-quality office spaces that comply with these rigorous standards. This means we must, and we do, commit to continuous improvement to remain competitive.”

He also highlights rising operational costs, particularly for electricity, water and human resources. “We are not passively reacting [to the rising costs]. Instead, we are adopting a robust, multifaceted approach to proactively manage and mitigate these challenges effectively.

“Crucially, we recognise the vital role of digitalisation and innovation in driving efficiency, enhancing the experience of our tenants and maintaining our competitive edge in this property market,” says Chong.

Towards this end, the company is committed to integrating advanced technologies and innovative practices to optimise operations, improve tenant services and support sustainable growth.

“We don’t see challenges as roadblocks, but as opportunities for strategic evolution.”

Tenant needs are also prioritised. “To enhance our value proposition, we offer flexible unit options, including partial or fully fitted offices. With fully fitted offices, tenants gain a significant advantage in predicting their overall occupancy costs, as the rent often conveniently includes most expenses related to the fit-out and furnishings. We also provide strategic tenant incentives, such as rent-free periods, reduced rental rates in the initial years and green tenancy agreements to help offset the capital expenditure incurred during a tenant’s relocation,” explains Chong.

In addition, tenants also enjoy corporate rates and access to a wide range of leisure activities within IOI Resort City. “This synergy not only enhances the value proposition for our tenants but also fosters a holistic community experience,” he adds.

Operationally, the developer is focused on digitalisation and streamlining property management to reduce costs. “This involves strategically outsourcing certain services, digitalising maintenance processes and operations, and meticulously renegotiating service contracts to ensure optimal value,” says Chong.

“We have also actively pursued cost advantages by increasing our scale of operations, allowing for lower per-unit costs. To achieve this, we are strengthening relationships with our suppliers and actively exploring alternative sourcing options. This includes negotiating larger-scale service agreements encompassing IOI City Tower 1 & 2, among other operations within the group’s portfolio, to secure more favourable pricing. This ensures we maintain cost efficiency without compromising on quality.”

As part of the company’s customer service strategy, it continuously upgrades the IOI Offices app, which provides seamless service requests, real-time updates and clear communication.

Meanwhile, energy efficiency remains a critical focus. “We are implementing comprehensive energy-saving measures such as solar photovoltaic systems, water-saving fittings and a centralised thermal chilling system calibrated for off-peak operation hours to significantly reduce utility costs.

“Our approach is about being dynamic, strategic and always focused on delivering the best for our stakeholders.”

What’s next?
The company’s plans are firmly rooted in customer-centricity and the continuous enhancement of the tenant experience.

“Specifically for IOI City Towers, we are actively considering the installation of solar panels and offering green leases to MNCs with specific sustainability requirements. We’re also exploring flexible lease terms and adaptable workspace solutions, such as co-working spaces and short-term leases, to meet the evolving needs of businesses,” Chong says.

Besides enhancing workspaces, the company is fostering a strong sense of community at IOI City Towers while championing sustainable practices.

“This is done by partnering with licensed waste collectors to responsibly manage waste and encourage tenant participation in our recycling programme through informative circulars and engaging posters displayed on our digital kiosks.

“To further promote eco-conscious habits, our office lobbies feature digital kiosks that share ‘green tips’ throughout the year. We’ve also taken to social media to spread the word about our initiatives and inspire greater involvement.”

Beyond tenants, the company is equally committed to fostering growth and development for its employees. “As an integrated business, we offer incredibly diverse roles and positions within the group, from facilities management to development and centralised procurement. This diverse exposure and opportunity for advancement are key to attracting and retaining talent,” he adds.

At its core, IOI City Towers represents more than just office buildings. It embodies a culture of continuous improvement, service excellence and sustainable growth.

“This award underscores our commitment to being reliable managers, upholding our contributions to a greener built environment,” says Chong. “It motivates us to keep moving forward.”