A property renovation scheme supporting urban regeneration while creating economic activity Investi f'Darek was launched this morning by the finance and tourism ministers Tonio Fenech and Mario de Marco, respectively.
The scheme promotes investment in restoration, conservation and maintenance of privately owned residential properties located within Urban Conservation Areas (UCAs) and Grade 1 and Grade 2 scheduled buildings.
Under the scheme, private owners of residential Grade 1 and Grade 2 scheduled buildings and all buildings within urban conservation areas may apply for a rebate on costs of restoration, conservation or maintenance carried out between January 1 and June 30.
The grant is capped at 20 per cent of the restoration costs up to a maximum of €5,000 per beneficiary. This scheme is being made available to a maximum of 1,000 beneficiaries on a first come first served basis. Only one building per applicant is eligible for support under this scheme.
It is the first in a series of financial incentives announced in the budget for 2012 with the aim of promoting sustainable urban regeneration, improving the country's appearance and incentivising local economic activity.
Mr Fenech said the scheme will represent an investment in the urban environment, creating further demand for jobs related to home refurbishment. This was part of a wider government strategy, in the context of the ongoing international economic crisis, intended at generating economic activity which safeguarded and enhanced job creation. Such incentives built on positive results achieved lately in terms of increase in emplyoment, he said.
Dr de Marco said the centre of towns and villages was part of the environment, a tourism attraction and a representation of cultural heritage.
The scheme, he said, was part of a holistic plan aimed at improving the environment, protecting cultural heritage and strengthening the tourism product.
The incentive formed part of a broader package of measures envisaged in the National Environment Policy, and complemented other projects and initiatives, such as the White Paper on Neighbourhood Noise to be published in the coming days.
Eligible expenditure that may qualify for this grant includes the cost of works related to restoration, cleaning and maintenance of the facade, repair or replacement of doors and apertures, repair or replacement of traditional wooden/masonry balconies, paint and plaster works, consolidation and restoration of the internal building structure that includes repair or replacement of 'xorok' and timber/steel beams, arches and 'kilep', reconstruction or maintenance of roofs and wells.
Costs of materials, labour, hire of equipment, professional fees (the latter include architect's fees, specialist consultancy, project management costs capped at maximum rate of 5% of the total restoration costs), as well as Mepa permit fees and other government charges that are directly related to restoration would be eligible for the grant.
A government notice to this effect, which explains in detail the provisions of the scheme has been published today in the Government Gazette.
Applicants will have until June 30 to apply for this. The scheme is being administered jointly by MEPA and the VAT Department.
Further information regarding the scheme may be requested by phone on 22901530 or via email on investifdarek@mepa.org.mt . A number of public information sessions to explain the details of the scheme will be held in future.
The government is also planning to introduce further incentives, including an exemption from duty on documents on transfership between heirs to facilitate the consolidation of ownership of Grade 1 and Grade 2 scheduled buildings and buildings in UCAs, as well as tax credits and tax reduction on income from sale or rent of these properties, amongst other incentives.
All the necessary information, guidance and application forms in relation to these further incentives will be published in due course.
The measures are aimed at promoting sustainable urban regeneration and reversing the trends of residential vacancy, dilapidation and urban decay.