Expats, key to condominiums

Although the overall trend in Sri Lanka’s luxury real estate segment remains positive, caution needs to be exercised with respect to two fundamental market determinants in the real estate industry, warns a recent research report. According to the recent research report titled ‘Sri Lanka Real Estate Market Brief’ done by KPMG in association with Research Intelligence Unit (RIU), since, there are a finite number of expatriate Sri Lankan’s living in the West who have already been at the frontline in picking up luxury apartments since the end of the civil war, the peak levels of their interest in Sri Lankan real estate maybe either fast approaching or even possibly behind us in which case the rate of demand growth is likely to slow down. 


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(Source: The Nation)

India's ITC, franchisee for the US-based Sheraton leisure group pays 50% of the lease for luxury hotel

India's ITC Ltd, franchisee for the US-based Sheraton leisure group, has finalized its hotel land deal with the Sri Lankan government paying 50% or US$73.5 million for the 5-acre plot of land opposite Galle face Green in Colombo, Minister of Economic Development Basil Rajapaksa said.


International investors including-Shangri-La Group, CATIC (China), the Minor group (Thailand) and M-Far Hotels (Oman) and ITC (India) have committed substantial investments in Sri Lanka while Six Senses Hotels, Banyan Group, Accor Hotels, and Dusit (Thailand),) have either invested or are currently exploring opportunities to make investments, officials said.


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(Source: Sunday Times)

Qatar interested in host of investments

Qatar Holdings, the investment arm of the Qatar Investment Authority of the Government of Qatar (which is Qatar's sovereign wealth fund) together with Qatari Diar Real Estate Investment Company, their real estate arm, are interested in a host of investments ranging from building villas in Kalpitiya, real estate development, to horticulture and highways, according to officials.

"They are also interested in the Colombo Commercial Property (CCP) at Sir James Peiris Mawatha, and a host of sites in the South for hotel projects,” according to the official. This also includes building five hotels.“They are especially interested in securing in the Kalpitiya Tourism Zone (KTZ) some large islands. They want to build five resorts in the North-West and the East coasts," an External Affairs Ministry official told the Sunday Times. He said that the preparatory team ahead of Sheikh Hamad bin Khalifa al-Thani, Emir of Qatar’s visit last Sunday, had visited Kalpitiya, and also inspected lands in Colombo for real estate development and a mega mall complex.

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(Source: Sunday Times)

Foundation stone for Colombo Lotus Tower laid

The tower will be constructed at the Beire Lake waterfront and alongside a part of D R Wijewardene Mawatha. The 350 meters tall Tower is being built under the auspices of the Telecommunication Regulatory Commission of Sri Lanka (TRCSL) on a plot of land covering 3.06 hectares.

When this is completed it will be a striking city symbol and an important landmark by becoming the tallest Tower in South Asia. This is a free standing tower with a four-storey high podium; a concrete tower shaft of moderate diameter; eight storied tower head; and a steel framed antennae mast surmounted at the top.

The Tower will provide for telecommunication and leisure activities, and will facilitate the relaying of at least 50 separate broadcasting and telecasting services, provide facilities for about 20 service providers in telecommunication relay defence signals and indirectly contribute to the removal of high powered TV and FM antennas placed on top of various buildings in the Colombo city.

The tower podium will also house a telecommunication museum, food courts, administrative offices exhibition spaces and corresponding amenities and tower shaft will be a hollow concrete cylinder accommodating high-speed lifts and stairs for vertical circulations and ducts for various type of building services.

The tower head will comprise eight floor levels accommodating an Observation Deck, Revolving Restaurant, and Banquet Hall for 1000 guests as well as two floors of super luxury hotel accommodation.

The total estimated cost of the project is USD 104.3 million.

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(Source: defence.lk)

SLT says shortage of tourist rooms

Sri Lanka Tourism is currently facing a crisis due to the dearth of rooms to accommodate foreign tourists visiting the country, Deputy Tourism Minister Lakshman Yapa Abeywardena said. With rooms being targeted for construction to meet the growing demand of increased tourist arrivals to Sri Lanka, it was pointed out at a media briefing held in Colombo on Tuesday on the topic of “Sancharaka Udawa” that the industry was fighting hard to provide adequate accommodation for visitors, the deputy minister said. More >> (Source: Sunday Times)

50% of Colombo condos sell out pre-construction : report

Most condominiums (considered luxury real estate) in the country's business capital of Colombo experience an average pre-construction sale ratio of around 50%, according to a report by the local office of global big four audit firm KPMG, in conjunction with Research Intelligence Unit (RIU).

The report titled 'Sri Lanka Real Estate Market Brief', said that "more prestigious developments like the Empire, Emperor, Lumiere and Trillium tend to sell around 80% of their units by completion of construction. Meanwhile, the established buildings like Royal Park and Iceland Residencies have very few apartments available for sale or re-sale."

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(Source: Sunday Times)