Merit award winner - (Mawbima)media | best web awards | | Last updated three minutes ago


China Harbour ventures into Lankan hotel sector

One of Sri Lanka’ largest infrastructure project developers- China Harbour Engineering Company Ltd. (CHEC), is to venture into the country’s booming hotel sector

Ceylontoday, 2011-11-20 12:00:00
Read 3392 Times

China Harbour ventures into Lankan hotel sector


Govt. offers three properties with Beira Lake frontage to CHEC


By Santhush Fernando and Amrith Gunasekara


One of Sri Lanka’ largest infrastructure project developers- China Harbour Engineering Company Ltd. (CHEC), is to venture into the country’s booming hotel sector with the construction of a upmarket hotel close to the emerging port city of Hambantota.


Speaking to Ceylon FT, Deputy Minister of Economic Development Lakshman Yapa Abeywardena said that discussions were still ongoing.


“They are very keen to set up a hotel project in between the Udamaththala International Airport and Hambantota city,”   the Deputy Minister said.


Although the government had also offered three prime properties with Beira Lake frontage to CHEC, the Chinese giant was more interested in Hambanthota he added.


According a foreign official close to the deal, CHEC is considering whether to go ahead with a US $ 750 million mixed development project in Colombo.


CHEC already has several vital infrastructure projects such as the Ruhunu Magampura Mahinda Rajapaksa International Harbour, the Udamaththala International Airport, segments of the Southern Expressway and the Colombo Outer Circular Highway and the coal unloading jetty at the Norochcholai coal power plant, to its credit.

 
The deal comes into light following the recent announcement by the government that it has completed negotiations with Sheraton to allocate the land, earlier offered to China National Aero Technology Import and Export Corporation (CATIC).


Recently, the government informed that it had cancelled a US $ 500 million investment deal with CATIC after it refused the sale of beach-front land outright to the state-run Chinese conglomerate as agreed earlier. The CATIC deal was said to be one of the largest foreign investments since the end of the war in 2009.


The opposition United National Party (UNP) raised questions as to why the land for the hotel on the Galle Face seafront grounds was being sold instead of being given on a long-term lease to CATIC. Meanwhile reports revealed that the government was negotiating to give CATIC another property.


China Harbour Engineering Company Ltd. (CHEC) is a world-renowned international contractor that is a subsidiary of China Communications Construction Company Ltd (CCCC). It has 40 overseas branches and offices with business activities covering more than 70 countries and areas. The company is currently employing over 7,000 domestic and international staff to undertake 10 billion USD worth of projects.

Ceylon FT

Ceylon Finance Today: Sri Lanka's troubled Lanka Ratings Agency Limited ('LRA') has begun negotiations for the sale of its majority stake in India's CARE Ratings,
Ceylon Finance Today: Markets, buffeted by inflows drying up and outflows increasing, saw money printing being the overarching cause for infusing excess liquidity
Ceylon Finance Today: The exchange rate (ER) continued to be defended at the Rs 133.70 level to the US dollar in interbank spot trades yesterday, with Central Bank
Ceylon Finance Today Leading consumer electronics brand Samsung launched their new SUHD curved TV at a function held in Colombo this week.

Focus

When Parameswari Uthayakumaran saw her house last month for the first time in 25 years, she stood in the rubble and wept. All her belongings, the doors, even the
Mahinda Rajapaksa says he will contest August elections that could determine the fate of his successor's reform drive. Six months ago, Maithripala Sirisena pulled
The Bodu Bala Sena (BBS) has joined hands with the Eksath Lanka Maha Sabha Party to form their political force, the Bodu Jana Peramuna (BJP), under which they will
The former Chief Inspector of Police of Vavuniya Station who had allegedly rendered assistance to the unlawful digging for treasure supposedly buried near the conservation