Andaman Island Is Penang’s New Waterfront Township By E&O That’s Set To Bring Living, Dining & Leisure By The Sea

Andaman Island in Penang


That new corner of Penang by Gurney Drive is the locals’ new favourite jogging route, but it is also something bigger you’ll want to keep on your radar. Rising off the island’s eastern coast, Andaman Island is a sprawling man-made island being developed as a new waterfront township with a mix of residential, business, and lifestyle spaces.

Currently still a work in progress, here’s what to expect as this ambitious new precinct takes shape by Penang’s waterfront.


What is Andaman Island in Penang?



Image credit: Eastern & Oriental Berhad

If you haven’t heard of Andaman Island yet, think of it as a new part of Penang that’s being built from the ground up, literally.

Brought to life by the renowned lifestyle property developer Eastern & Oriental (E&O) Berhad, this man-made island is being developed as a new neighbourhood by the azure seas, spanning a whopping 760 acres of land.


Image credit: Eastern & Oriental Berhad

Dubbed the most livable curated city in Penang, the island brings together residential areas, commercial spaces, retail and dining, green spaces and leisure offerings, with the concept of plenty happening within easy reach.

Think waking up to waterfront views, heading out for coffee, meeting friends for lunch, getting some shopping done, then ending the day with a stroll by the water – all without the hassle of getting stuck in traffic.


The three districts


Andaman Island’s masterplan is divided into three districts – Shoreline, Gurney Green and Canalside – each designed around a different aspect of island life.


Image credit: Eastern & Oriental Berhad

Shoreline is centred around residential living and green spaces, with homes set alongside landscaped areas, pocket parks and green corridors, in proximity to the waterfront.

Gurney Green, meanwhile, brings together a broader mix of uses. Alongside residential developments, the district is planned to include commercial and business spaces, retail, dining, entertainment, hospitality and wellness.

Over at Canalside, the district is built around canals and promenades, with public spaces, commercial areas and room for people to walk, meet and spend time outdoors.


A sustainable city


For an island that’s being built from scratch, Andaman is making room for plenty of greenery too.


Image credit: Eastern & Oriental Berhad

The development is designed around the idea of making city living a little greener and more walkable. Its masterplan incorporates over 35 acres of green spaces, including landscaped areas, parks, promenades and pedestrian-friendly spaces, planned throughout the different districts.

Andaman is also planned around a 15-minute neighbourhood concept, which encourages a more walkable lifestyle so residents are able to get around without constantly relying on a car. Alongside this, sustainability is also built into the development itself, across energy, water, biodiversity and materials, with the masterplan receiving Platinum GreenRE certification.


Andaman’s residential developments



Image credit: Eastern & Oriental Berhad

Following the success of E&O’s earlier launches – which include the high-rise developments such as The Meg and Arica, as well as the landed properties Fera and Senna, all of which are fully sold out – there has already been a growing collection of residential developments on Andaman Island.

The latest additions to the island’s residential line-up are The Lume and Maris, with another development, Avea, also currently in the works.


How to get to Andaman Island in Penang?


Andaman Island may be an island in itself, but you won’t require a boat to get there – you can simply drive over.


Image credit: Eastern & Oriental Berhad

The developing island now has two road connections to the northern coast of Penang Island: one linking it to Seri Tanjung Pinang, and another providing a direct connection to Gurney Drive and Gurney Bay.

The first connection is the Andaman Bridge, which links the island to Seri Tanjung Pinang. Completed in 2022, this provides access from the Tanjung Tokong side of Penang and is particularly convenient if you’re already around areas such as Tanjung Tokong, Straits Quay and the northern coastal stretch.


Image credit: Eastern & Oriental Berhad

There’s the newer Andaman Gurney Bridge, which officially opened in December 2025 and has become the main gateway into the island. The bridge creates a direct route between Gurney Drive and Andaman Island, measuring about 1.2km long. The eight-lane bridge also has pedestrian walkways on both sides, making it a popular scenic route for runners.


When will Andaman Island be completed?



Image credit: Eastern & Oriental Berhad

With its sheer size, the township is being rolled out in phases, with Phase 1 currently spanning 253 acres across the three districts: Shoreline, Gurney Green, and Canalside. The next big milestone will be Phase 2, which will complete the reclamation of the remaining 507 acres and is targeted for completion by December 2028.

While some parts of Andaman are already taking shape, the full vision for Andaman Island is still some way off. The idea is for Andaman to eventually become a complete waterfront neighbourhood where people can live, work, eat, shop and unwind, so the island will continue evolving as new phases are completed.


Penang’s new waterfront town, Andaman Island


There’s still a way to go before Andaman Island is fully up and running, but its mix of city conveniences and waterfront living is what makes this new addition to Penang particularly interesting.


Cover image adapted from: Eastern & Oriental Berhad

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