Mark Micallef
Xemxija project is at a standstill
The massive, 868-appartment high rise complex over the Xemxija ridge is at a standstill and the project's marketing team has been laid off, The Sunday Times has learnt.
Three people who manned the marketing suite for the controversial Mistra Heights development were laid off a month ago and the project's future is unclear.
The development, which was meant to be standing at a height of eight or 11 floors, depending on the road level, was meant to replace the former Mistra Village. It is a joint venture between Maltese developers JPM Brothers Ltd and Al Masalleh Real Estate Ltd of Kuwait.
Director Jeffrey Montebello denied sources' claims that the project may have run into financial difficulties, pointing out that Fimbank was one of the partners.
He said the project faced a planning hurdle since the full development permit had still not been issued, just under a year after the preliminary green light was given.
He also denied that discussions were taking place for the Kuwaiti partners to take over. "There are no discussions and there will be none in the future," he said, adding that these were private matters.
Asked why the marketing team was laid off, he said there was nothing to sell before Mepa issued the final approval.
Project manager Dean Wells also said planning bureaucracy was the main reason stalling the project.
"The financial problem is not the one stalling the project," he said. But when asked whether this meant that there were no financial problems he declined to comment.
Mr Wells said sales would start next Spring and, Mepa permitting, works shortly before that.
The decision of the Malta Environment and Planning Authority to approve the outline development permit in June last year came under fire from environmental organisations.
The project was toned down from the original plans, doing away with a 19-storey tower and reducing the units by 100.
But environmental groups still complained that the approval led to a "dangerous" precedent for tall buildings on ridges in Malta.
An environmental assessment commissioned by the company had found there would be minimal impact.
However, environmental groups like Din L-Art Helwa had accused the planning board of giving their consent without having updated photomontages showing the true visual impact of the development.
The company bought the former Mistra Village holiday complex in 2005 and the planned development costs were last year estimated at some €250 million, half of which was direct foreign investment.
The local partner in the project also bought the former Jerma Palace Hotel in Marsascala to turn it into a five-star hotel and high-end apartments.
Other projects include the Belmonte Heights in Sliema and the A3 Towers in Paola.
Popular Stories
Update 3: Woman found dead in car,...
Updated: Woman dies in car crash
Part of Dwejra 'Azure window' collapses
Carm Mifsud Bonnici resigns after...
The end of the bar that ‘never closed’
Bundy does not know whether to...
Updated - Jason Micallef demands...
This WAS the night - Kurt makes it...
Petrol price up 6c
In Discussion
Updated - Jason Micallef demands...
Gozo tunnel could take 5-7 years to...
CABS remote controlled aircraft shot...
Carm Mifsud Bonnici resigns after...
Joseph Calleja condemns portrayal of...
Updated: Labour would give...
CABS drone shot down
Second group of migrants arrives
Adrian Vassallo in scathing...
18 Comments
Post comment
Please sign in or create your Account to post comments.
N.Grima
May 11th 2009, 17:15
Please note, FIMBank has nothing to do with this project: http://www.borzamalta.com.mt/compannounce/FIM114.pdf
John Carmel Navarro
May 11th 2009, 15:59
So here we go more unfinished buildings to litter our vista, how do we manage to start all these unsightly projects and then just stop well before they are completed. Whoever has the responsibility and is entrusted with giving all these ludicrous permits should be brought to task. Surely it does not take much to realize that the property bubble has burst. Where are the next lot of buyers coming from with the Global Financial problems, maybe investors from Mars or some other Planet !
Dr Antoine Spiteri
May 11th 2009, 15:44
The fact that we are seeing these projects going up in Malta is generally viewed as progress by both tourists and investors... the developers, architectural and design teams and a consortium of people generally spend a lot of time mulling over the environmental, social and economic impact of each structure, ALONG the strict rules of the Malta Environmental Protection Agency... so although we may go to Palm Springs for the lovely sun, we do not halt them from developing the next golf course in which we may be Ting off next spring!
A construction "spree" or boom is often an indicator of a healthy economy. And as it has been said below, once commenced why not finish?! Does Malta not have enough derelict buildings as it is? When we see the construction sector under threat we need to concerned.
It is unfair to simply point fingers and refer to investors, developers and contractors, etc) as "greedy"... these are often people who invest and believe in the Maltese economy
W Spencer
May 11th 2009, 08:47
Tourists come to Malta and Gozo on a regular basis because they like the Islands as they are. Malta and Gozo would do better to rebuild and upgrade all the empty and delapidated buildings that are now in abundance here. Improving the roads should be a priority.
If European tourists want Megastructure hotels / nightclubs and concrete jungles, they would not need to travel all the way to Malta. Constant sunshine and megastructure hotels / nightclubs are already available In Benidorm and most of the Spanish holiday resorts, and the roads are so much better.
Why waste money spoiling the natural beauty of the Islands ??
R. Azzopardi
May 11th 2009, 08:27
I am one of those who always opposed the construction spree, however, taking this case in point, what good could come out of leaving a project at a standstill? Once it has started, might as well get it over and done with. I'm sure that it is more unsightly the way it is at present.
Another thing. What about the White Rocks project? The complex has been abandoned for ten years and it looks absolutely horrible. Large buildings in prime real estate areas are left abandoned while virgin land is still being ruined. So much for "sustainable development"
J. Portelli
May 10th 2009, 21:41
Great news...!!! 70,000 empty flats, you really think we need another 900...You real estate specualtors are so greedy, cant wait to see you all crash.
T Aquilina
May 10th 2009, 20:35
I am sure many of us are truly disgusted at the prospect of yet another large-scale concrete jungle. Unbelievable when by now the supply has so overwhelmingly exceeded the demand for the next few decades at least. One does not need to be an economist to foresee what the outcome of having too many properties could be.
charles cassar
May 10th 2009, 18:16
Bet , Mepa or the Government would care a hoot about the above comments!
Nigel Lawrence
May 10th 2009, 17:23
Xemxija project is at a standstill----
SPLENDID!
oliver mallia
May 10th 2009, 16:24
I hate objecting but in my opinion there was 2 options about Mistra Village,
1- The mentioned project.
2- Divide the whole area to plots (1 tumula = 5 plots) build hundreds of apartments and garages and sell them buy 2 get 1 free. Also the local council will change the name from Xemxija to Bugibba No2
J.Bonnici
May 10th 2009, 13:29
Thank God for the recession. Nobody should be shedding any tears.
Oisin Jones-Dillon
May 10th 2009, 12:33
In this regard, see:
http://www.timesofmalta.com/articles/view/20080608/local/mepa-continuously-damaging-maltas-historical-heritage/
I can confirm that the legality of this project is still under EU institutional investigation.
Oisin Jones-Dillon
Mario Tabone-Vassallo
May 10th 2009, 12:22
Nittama li ma nibqawx b'kollox nofs kedda ma wiccna sakemm ikunu komdi. Il-pajsagg u l-ambjent ta' kulhadd u hadd ma ghandu jkollu d-dritt ikerrhu ghal haddiehor. Bizzejjed tara kemm ilna bil-bini mgarraf fuq Ghajn Tuffieha
lgalea
May 10th 2009, 12:15
Why doesn't the speculators stop ruining our environment with MEPA's help?
We do not need more buildings when we have thousands upon thousands of old houses and thousands upon thousands of new concrete matchboxes empty and ruining our environment.
Ray Woods
May 10th 2009, 11:53
In my personal experience in the UK, environmental assessments carried out by developers are just a charade - and should be ignored by anyone in an official capacity.
No surprise there though I am sure!
Ray Woods
Ray Sultana
May 10th 2009, 11:42
This project is the most unsustainable project ever proposed in Malta, planning to replace the beautiful Mistra Village with a four boomerangs of 11 storeys!!
Tall buildings should never be built on top of hills, as their visual impact would be much more massive. Everywhere in the world tall buildings are built on flat ground, but in Malta we seem to know better and propose insane projects and then complain that they don't go through.
If this project goes through it would create a very negative visual impact and would destroy forever the views from Mellieha, Mistra Bay, Xemxija, St. Pauls Bay and also from out at sea. It would probably be visible from as far away as Naxxar.
This project should be refused and shelved once and for all.
Peter Aquilina
May 10th 2009, 11:38
Greedy speculators, building contractors, local and foreign investors, banks and Mepa must keep in mind that Xemxija residents signed a petition objecting to such "developement".
The above mentioned ( Greedy speculators , ...... investors) , should propose to have such "developement" materialize in their very own permanent home backyard or back garden, or even right above them, where they can enjoy it for the rest of their life !!!
Andreas Reiff
May 10th 2009, 11:22
Divide the estimated 250 million Euro by 868 apartments. The result: staggering 288,000 Euros per apartment. Anybody having financial problems?