A stretch of undeveloped land at Żonqor Point which was handed over to the American University of Malta as part of a deal will be returned to the government, Prime Minister Robert Abela said on Monday.

Speaking on TVM’s Xtra, Abela said the government wanted the project to succeed but it will be re-dimensioned.

He said that the government and AUM have come to an agreement which will soon be brought before the Cabinet for approval.

The government will also be taking back land between the current premises of the university in Cospicua and Senglea, which was to be used as a student dormitory.

The transfer a large tract of ODZ land to Sadeen Group, the developers behind the AUM, had led to protests in 2015.. 

Last Sunday, The Malta Independent on Sunday reported that the company which owns and runs the American University of Malta (AUM) registered €3.3m in financial losses in 2020.

Financial records show that Sadeen Education Investment Limited registered a loss of €3.39m in 2020 – a significant deficit, even if it is less than the losses registered in the previous two years.

The company registered €5.37m in losses in 2019 and another €5.89m in losses in 2018, meaning that it has now registered a grand total of €14.66m in losses in three years.

Former Prime Minister Muscat had said, in March 2019, that if AUM does not reach the stipulated target of 4,000 students up to four years after all construction and embellishment phases are completed in 2025, then all its facilities and land will return to government.