Part of the Institute for Tourism Studies at St George’s Bay was inexplicably earmarked for expropriation by planners – despite it being public land.
The inclusion in the Paceville master plan of this stretch of land for expropriation has raised eyebrows among tourism industry players since the government is currently negotiating the sale of ITS to the Seabank Group.
Earlier this year, The Sunday Times of Malta revealed that the ITS site was going to be sold off on the cheap to the Seabank Group for the construction of a Hard Rock hotel and two high-rise residential towers.
Industry players and developers were furious after persistent rumours put Seabank’s price tag at a paltry €6 million for the 25,000 square metre site. Subsequently, the company insisted its offer was much higher but failed to say what it was.
Persistent rumours put Seabank’s price tag at a paltry €6m for the 25,000 square metre site
But as negotiations between the company and the government are ongoing, the detail coming out of the Paceville master plan has cast fresh doubts on the government’s intention.
A large tract of the ITS site is included as part of a 15,000 square metre stretch of land at the upper part of St George’s Bay, which was identified as a public open space in the master plan.
According to planners the expropriation of land in this area will come at a price tag of €128 million. This seafront land was valued at €8,500 per square metre and according to the master plan this was based on “prices provided by Malta government”.
It is unclear whether planners were aware of ITS’s ownership status when they drew up their vision for the area. It is also unclear whether the quoted price per square metre would also be what government intends to ask the Seabank Group for the ITS site.
Industry sources questioned whether the implication from the master plan was that the land would be first sold to the Seabank Group and subsequently expropriated, giving them an immediate windfall of several million.
According to a presentation Seabank has prepared for potential investors and property buyers, the land earmarked as an open space by the master plan would contain the Hard Rock Hotel.
The master plan is calling this open space at the bay’s northern shore St George’s Parade.
It is described as Paceville’s ‘living room’ with seafront cafes and public seating areas that would be used for festivals and outdoor activities.
Although the master plan says this open space is currently occupied by residential development within the Corinthia site, the maps attached to the document show otherwise.
While part of the planned open space is occupied by a section of the Corinthia Marina Hotel, the largest tract of land included in this proposal comes from the ITS site.
The Paceville master plan has come under fire from various quarters after planners showed complete disregard to existing residential and commercial outlets when drawing up their plans.
kurt.sansone@timesofmalta.com