Saturday 20 April 2024

MDA on disposal of public land


The Malta Developers Association reiterates its view that public land should not be sold to private entrepreneurs and developers at prices below current market prices.

This issue has come to the fore again this week with regard to a part of the land previously occupied by the Fortina hotel and its ancillaries and that is to be developed for purposes that are not related to tourism.

MDA realises that, in this case, the exercise was not one of selling free and unencumbered land owned by the state but of the state being paid for accepting to waive a limiting condition on the development of the land, which the private owners were bound to observe.

Comparing the premium paid for this waiver with the absolute value of the land is, therefore, incorrect.

In this case, MDA feels that the amount paid to permit a change in the use of the land in question was fair and reasonable. As regards the terms of payment, MDA feels that these were unnecessarily over generous.

© 2024 Josanne Cassar.