Rs 20 b Hyatt Regency construction begins
Another flagship tourism infrastructure development project, Hyatt
Regency Colombo Hotel, ceremonially kicked off yesterday in the presence
of ministers and dignitary guests.
Sinolanka Hotels and Spa (Pvt) Ltd Chairman Gamini Senerath and
Board of Investments Acting Chairman and Director General M. M.
C. Ferdinando exchanging agreements pertaining to the “Hyatt
hotel development project.Economic Development Minister Basil
Rajapaksa and Ministry of Defence and Urban Development
Secretary Gotabhaya Rajapaksa also look on. Picture by -Chaminda
The Rs 20 billion hotel project with 475 guest rooms, 90 residential
suits is developed by Sinolanka Hotels and Spa (Pvt) Ltd and major share
of the required capital for the project will come from Sri Lanka
Insurance Corporation. According to a senior official from Sinolanka
Hotels and Spa (Pvt) Ltd, rest of the capital is expected to be obtained
from international development agencies and the relevant authorities
would start negotiations with these institutions pertaining to the
capital requirement of the project.
The hotel complex is scheduled to be opened by the end of October,
2013 and residential suits will be operational by August, 2014.
The project will be developed as a five star hotel complex with
modern amenities and facilities and will comprise 43 storeys . Once it
is completed, Hyatt Regency Colombo will be the tallest hotel complex in
The management of the proposed hotel complex will come under the well
known global hospitality company, “ Hyatt Regency Group” for 20 years.
Negotiations with Hyatt International to manage and operate the hotel
complex has already been concluded and contracts were currently been
reviewed and expected to be concluded within a short period of time.
Work on the hotel complex commenced yesterday under the government
programme to revive the iconic ‘Hyatt Regency Hotel.’ The land was
originally leased to the previous developer by the Urban Development
Authority on a 99 year lease in 2003 for scheduled completion in 2008.
However, the project has remained abandoned over the past three years.
In November 2011, this property was taken over by the government under
the “Revival of Under-performing Enterprises and Underutilized Assets
Act No 43 of 2011” to expeditiously revive the project without any
dilapidation. In March 2012, the Cabinet approved a proposal to
re-develop the property and Cabinet approval required private and state
entities including Sri Lanka Insurance Cooperation Limited to form a
company, inter alias to ensure the revival of this property.
Based on the Cabinet approval, the property has been leased on a 99
year lease to the new developer, Sinolanka Hotels and Spa (Pvt) Ltd.