The peninsula in Pembroke where Corinthia’s proposed mega-project is going to take place is big enough for development to be phased and for it to not affect residents, while the 25-year length of the project is such so that it is carried out in a sustainable manner, Tourism Minister Konrad Mizzi said.

Asked by The Malta Independent for the reason as to why Corinthia’s proposed development in St Julian’s is expected to take 25 years, Mizzi said that the development of the project will be phased and structured in the most sustainable way possible.

Mizzi explained that as opposed to other projects, the government is demanding that the first phase of the project would be the construction of the six-star hotel, a process which would take between five and six years once all the applications for zoning and all the permits were in order.  This first phase of development will be limited to 15,000 square metres, Mizzi said.

He said that in line with the concerns from various developers and the local sectors, the government had decided to impose that at no point in time could there be more than 25,000 square metres of real estate on the market so not to negatively affect other projects. 

The government has also obliged Corinthia to always have two operational hotels on site, Mizzi said.  He added that the government certainly did not want Corinthia to cease operations in all three of its hotels at once as there isn’t the capacity in the tourism sector to compensate for such a reduction.

“Things need to be phased in a proper manner”, with the government believing that the development should be staggered, starting with the six-star hotel so to have an up-market development right from the beginning.

The length of the project did not reflect any lack in capital on the part of Corinthia, but was such so to alleviate concerns of other developers and make sure that the project is properly phased in such a way that will not negatively affect the market.

The question was posed to Mizzi after it was revealed in a Parliamentary Environment and Development Planning Committee meeting on Monday that the project would take 25 years to complete, a fact which drew widespread concern from groups and lobbies opposing the project.

In that meeting, Mizzi refused to publish the Corinthia contract and the 2015 Memorandum of Understanding, stating that government has no problem publishing the contract “at the right time”, before adding that negotiations with the International Hotels Investment Group are still ongoing.  Mizzi also noted that the government was discussing the height parameters of the project, although he failed to answer what the government deemed to be acceptable in terms of height for the project.

Video: Alenka Falzon