Malaysian Resources Corporation (MRC) has been appointed to redevelop the existing Bukit Jalil National Sports Complex – the venue for the 1998 Commonwealth Games – and transform it into a new, iconic Kuala Lumpur Sports City.

The RM1.6bn (US$375m, €344m, £243m) KL Sports City will create a vibrant sports hub capable of hosting elite sports events as well as cater to the local community and recreational users.

Designed by global design practice Populous, the first phase of the work – set to begin in January 2016 and entitled project 1 – will include the redevelopment of the 87,000-capacity Bukit Jalil National Stadium and upgrading the venue in time for it to host the 2017 Southeast Asia (SEA) Games.

Project 1 will also include works on Bukit Jalil’s Putra Stadium, the National Aquatic Centre and the National Hockey Stadium, improve integration to the current and existing public transportation links, and increase pedestrian access across the site.

The second phase, Project 2, will commence after the SEA Games in early 2018 and will add the finishing touches to KL Sports City, creating a fully-integrated sports hub, consisting of a Sports Rehabilitation Science Centre, a youth park, public sports facilities, a sports museum, youth hostel, convention centre, and a sports-focused retail mall.

MRC group managing director Tan Sri Mohamad Salim Fateh Din said: “The existing facilities at Bukit Jalil were built more than 17 years ago, and Malaysia needs a sporting venue that showcases the country and its athletes. The new sports city will be a catalyst that inspires Malaysia to become a sporting nation.

“The KL Sports City project marks MRC’s entry into sports and recreational infrastructure, and allows us to build on our core strengths of delivering multi-use developments that regenerate areas of national importance. By working in a private-public partnership we can ensure that our own corporate goals are aligned with the nation’s objectives for growth and development.”

• MRC is a leading urban property and infrastructure developer in Malaysia. The group specialises in civil, environmental and energy infrastructure development including river and beach rehabilitation projects, road works, road concessions, educational colleges, hospitals, power plants, and is the nation’s biggest developer of high-voltage transmission networks.

• Populous is a specialist in creating sporting facilities and its previous projects include the Yankee Stadium in New York, US, the 2012 London Olympic Stadium, South Korea’s Incheon 2014 Asian Games Stadium and the Etihad Stadium Expansion project in Manchester.