The Ta' Qali Crafts Village tenants are against the government's plan to shift their business to Cospicua.
They are even prepared to fork out the money for the revamp of the village, which was promised for over a decade but never implemented.
On Thursday, the government announced that the overhaul of the Ta' Qali Crafts' Village has been scrapped because there are no EU funds available. Instead, it is now planning to transform the Dock No. 1 area in Cospicua into an Arts and Crafts Centre.
But, when asked for their comments, many of the tenants said that they did not want to move to Cospicua.
"We don't like the idea of going down there. This is our place and everyone wants to stay here," one tenant said.
The rehabilitation project had been re-launched in November 2007 when the government issued a call for tenders for the €28 million project that was meant to start last year and take four years to complete.
At the moment, there are about 35 businesses with a total of 100 employees at the crafts village.
The tenants complained that they were unaware that the project fell through because of lack of funding.
"It is very strange that the government only found out recently that there aren't any EU funds available," another tenant said.
In 2007, the tenants had signed a two-year emphyteusis with the government. It stipulated that the government would pay for the infrastructure while the tenants cover their own expenses.
Joan Haber, owner of Alka Ceramics, said it was always agreed that the crafts village will remain at Ta' Qali.
"We were even ready to foot our own bills. I was about to fork out €418,604 to rebuild my factory. However, the government doesn't even have the money to rebuild the road infrastructure," she said. Several of the tenants are drafting a letter to the Prime Minister, asking him to allow them to remain at Ta' Qali.
When contacted, the Finance Ministry said it is in contact with the Chamber of Small and Medium Enterprises - GRTU that represent the tenants.
"The Finance Ministry is following the situation and is in talks with the GRTU and together solutions are being sought with regard to the present tenants. No option has yet been excluded or decided," the ministry said.
A spokesman for the Infrastructure Ministry said the government is developing a work programme but does not intend to build any new structures at Dock No. 1.
However, the government's intention for Dock No. 1 is to restore the Knights and British Buildings alone and not add any new structures or floors except for a small administrative building between the two already there, the spokesman said.
The government also has plans to set up an Arts And Crafts Centre concentrating on genuine crafts, art and sculpture studios and similar activities.
"We aim to keep catering activities to a minimum because there are more than enough in the area. We also want to create direct sea connections with the Valletta side of Grand Harbour apart from access from the Cottonera area," the spokesman added.