After deciding not to merge with J.R.C. the Sports Club focused on its own future and the committee decided to re-build as the existing building was of 1930s vintage. The new $165,000 new clubhouse was declared open by His Excellency the Yang di-Pertua Negara Datuk Pengiran Haji Ahmad Raffar on Sunday 3 April 1966. His Excellency was entertained to lunch and the Police band was in attendance. A grand dance was held in the club that night which went on until shortly before breakfast with the Telstars providing nonstop music for dancing for over 5 hours.
A loan of $65,000 was obtained for the Chartered Bank against a charge for the like amount over the title of the club land.
There was a dispute with regard to the final payment for the construction of the new clubhouse. The final payment due to the contractor was $4,123.00 less deduction of $2,000.00 for defects and omissions. The contractor was disputing the $2,000.00 deduction. The dispute dragged on for quite a while until it was finally resolved.