ECONOMYNEXT – Sri Lanka’s cabinet has cleared a 250 million US dollars mixed development by an foreign investor who will also pay 43 million US dollars to lease a state land in the island’s capital Colombo, the finance ministry said.
The promoter, Perennial Real Estate Holdings is expected to build a 30-story tower with commercial space and 700 apartments.
When the agreements is signed the investor will pay 43 million US dollars to the Treasury for a lease on state land between the Beira Lake and Shangi-La hotel on Baladaksha Mawatha.
The cabinet paper on the project was submitted by Finance Minister Mahinda Rajapaksa.
This will be the first large scale foreign investment cleared by the new administration of President Gotabaya Rajapaksa.
It is will also be first land lease sale, which will bring non-tax revenue up front to the 2020 budget. (SB-Colombo/Dec29/2019)