New lease of life for Grand Hyatt Colombo | Daily News


Govt to fetch investors from overseas

New lease of life for Grand Hyatt Colombo

The Government is once again opening up ‘Grand Hyatt in Colombo’ property for international investors, State Minister of Information and Communication Technology Laksman Yapa Abeywardane said.

The Grand Hyatt Colombo is a 47-story five star hotel in Colombo, The hotel will feature 475 guestrooms and 84 serviced apartments. Consortium consisting of Sri Lanka Insurance Corporation, Litro Gas Lanka limited and the EPF along with Sino Lanka Hotels and Spa (Pvt) Limited had almost complied 70% of work of the building opposite Temple Trees.

However the previous government had stopped payments due to contractors and some contracts too had been terminated. “This has resulted is several companies taking legal action. Now the present government will have to pay for contractors, settle legal claims and also complete the balance construction and finishing. However with investor confidence returning we hope to find a new investor soon and get the project up and running as it’s a major icon for City of Colombo.”

The new government last week also approved a US$ 250 million mixed project investment for a 30 storied Commercial Tower with 700 residencies by a foreign investor, Perennial Real Estate Holdings.

Asked if the government was going ahead with the plans to find investors or privatize/divest Colombo Hilton and Grand Oriental Hotel he answered in the negative. Bank of Ceylon would run GOH and while a locally constituted board would operate Colombo Hilton.” Yapa also said that the previous Mahinda Rajapaksa government has paid over US$ 480 million towards the settlement of the Hambantota harbor to Chinese constructors and the balance was been paid through profits made from the Colombo Harbor. “There was no reason to lease this harbor to Chinese for 99 years and this was a huge mistake made by the government in 2018.”

The previous government similarly also stopped work of the Colombo Port City for two years for reasons best known to them.

Minister Yapa said that all the tax incentives offered by the government will come in to effect from today (January 1) and some private companies have announced that they will pass this benefit to customers.

CEAT Kelani Holdings, which manufactures nearly half of Sri Lanka’s pneumatic tyre requirements, has announced that it has already begun passing on the full benefit of the recent tax reductions to its customers.

Tea, Cinnamon and Pepper prices up due to import ban

The government decision to stop import of tea, pepper and other commodities available in Sri Lanka has given a major boost for the local agri sector. Today the a kilo of Green leaf (tea) which was purchased at around Rs. 80 is now fetching Rs. 95 to 100. Similarly a kilo of Cinnamon has increased from Rs. 1,350 to Rs. 1,700 while kilo of Pepper is been purchased at Rs 700 as against the previous price of Rs. 375.

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