The price of the abandoned city hotel in Hulhumale’ Phase I, owned by State Trading Organization (STO), has been placed at USD 20 million, with an agreement reached to exchange the hotel for a land plot in Phase II.
STO said it reached an agreement with Housing Development Corporation (HDC) to swap the city hotel being developed by the company in Phase I for a land plot in Phase I after establishing the price of the hotel at MVR 20 million.
The state-owned company said the changes to the company’s finances following the transaction will be included in this year’s financial statement.
HDC contracted the conversion of the existing city hotel structure into a luxury five-star establishment, including a dedicated media village and several colleges, to World of Business Private Limited, a foreign investment company operating in the Maldives under the Deep Seafood Company based in Dubai in August.
STO began developing the five-star city hotel, which comprises 250 rooms, in 2011. While most of the structural work has been completed, construction on the hotel has been stalled for over eight years.
As such, HDC had made an announcement seeking a party to purchase the city hotel.