Scheme extending lease period of Valletta businesses launched
Video: Mark Zammit Cordina
Land Minister Jason Azzopardi this morning launched a scheme extending the lease of Valletta business owners operating from government property to 45 years from six months.
Addressing a news conference, Dr Azzopardi explained that 475 government-owned shops in Valletta have a six-month lease agreement that is renewed once it expires.
This causes business owners problems when trying to get a bank loan to invest in their business.
Dr Azzopardi said that three years ago his ministry started working on the scheme, together with the Chamber of Commerce, organisations representing business owners in Republic and Merchants’ streets and the GRTU.
The scheme, which is completely voluntary, will open for a year on December 1. It will extend the rental period to 45 years, renewed automatically every 15 years.
It will also allow shop owners to sub-let their property, something that is currently not allowed.
Valletta will be split into four zones and rates will be established according to the zones.
These will be discussed with the shop owners and for the first three years, the rent will remain the same, increasing gradually between the fourth to eighth year with businesses starting to pay the agreed rate in the ninth year.
The scheme, Dr Azzopardi said, will help increase business and investment in Valletta.
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Pavlaki Pano Aroditis
Nov 23rd 2012, 12:41
This is scandalously similar to what happened in the USSR when it collapsed. The State authorities gave out State assets to a select few who enriched themselves at the public expense. Is this an electoral ploy? How can ordinary Joe Public get access to State property, or is this for the blue eyed boys? Why not offer these properties for auction bidding? That would be a proper public service.
Brian Gatt
Nov 23rd 2012, 12:15
Jaqaw gejja l-Elezzjoni?
Tony Borg Borg
Nov 23rd 2012, 17:17
L-elezzjoni ila gejja mit-2008.
Mr Andrew Camilleri
Nov 23rd 2012, 11:55
Sorely needed as Valetta has been dying slowly and is almost guaranteed to die off especially after the new parking arrangements.
Eddy Privitera
Nov 23rd 2012, 11:40
An election works wonders with GonziPN !
Michael Magri
Nov 23rd 2012, 11:35
Dr Azzopardi said that three years ago his ministry started working on the scheme, together with the Chamber of Commerce, organisations representing business owners in Republic and Merchants’ streets and the GRTU.
Ha Ha.. Three years ehh.. And it `dawned` on them on the `eve` of a general election.. How smart hux...!!!
victor bonello
Nov 23rd 2012, 11:05
why 45 years, no owner leases out commercial property for those number of years ! Normally it is 5 years with the possibility of another 5, Rent has to be paid 3 to 6 months in advance.
What sort of rents are these people paying? how will rent increase over the next 45 years? This smells very much like an election eve gimmick to accommodate friends or friends of friends.
Please choose the reason of your report below: