No deal after 30 years: Penang CM confirms talks failed before Waterfall Cafe demolition

GEORGE TOWN, April 28 — Talks between the Penang government and Waterfall Cafe have failed to produce a settlement, bringing to an end a decades-long dispute that has persisted since 1990, Chief Minister Chow Kon Yeow said today.

He said the state had repeatedly engaged all relevant parties in an effort to reach a fair and practical solution, but all negotiation channels had ultimately failed.

“In principle, all active negotiation channels that were opened failed to reach a resolution,” he said in a statement.

He said all notices directing the premises to be vacated, issued by the Northeast district land administrator, including an eviction notice on January 4, 2024 were not complied with.

“Despite outstanding rental arrears, the state government through the Northeast District and Land Office (PDTTL) offered several reasonable options to Waterfall Cafe to relocate and continue operations,” he said.

He said the relocation offer included two units at the multi-storey car park building, the commercial plaza, for the future Penang Hill cable car project, as well as a temporary site throughout the construction period.

He said the cafe owners rejected the offers without clear justification.

“It should also be noted that during a coordination meeting on June 19 in 2023 chaired by the then Deputy Chief Minister II P. Ramasamy, it was agreed that Waterfall Cafe would relocate and settle its outstanding rental arrears,” he pointed out.

He said the commitment was not fulfilled.

Chow said the first eviction notice was issued on January 4 in 2024 and is followed by several rounds of discussions from February 19 in 2024.

“The final notice was issued on April 15 this year before enforcement action was carried out today,” he said.

The cafe, located near the entrance of the Botanic Gardens, was demolished by the authorities earlier today.