In a significant development, Urbanco has unveiled plans for a substantial USD 259 million (MVR 4 billion) project aimed at reclaiming land for allocation in Hulhumale’, establishing a cruise terminal, and enhancing an area in Thilafushi as well as Dhiyaneru. The company intends to finance this ambitious endeavour by sale of two land plots located in Hulhumale’ and Thilafushi. The project holds immense promise for transforming the landscape and augmenting infrastructure in the region.
The prestigious contract to execute the dredging project has been awarded to Sri Lanka's Capital Marine and Civil Construction (CMC), marking a pivotal moment in the expansion initiatives undertaken by Urbanco. The project encompasses several key areas, including the dredging of Hulhumale’ Phase II, Dhiyaneru Falhu, and Thilafushi Area. Collectively, these areas span a total of 96.8 hectares, facilitating a comprehensive transformation of the region.
Despite the magnitude of this announcement, Urbanco has remained reticent about the specifics of the financial aspects surrounding the project. While the company confirmed the contract's award to CMC, up until now Urbanco had refrained from disclosing precise costs or detailed project parameters.
And now, addressing much speculation surrounding the details of this agreement, Urbanco clarified its stance in a recent statement. Contrary to reports suggesting that a portion of Hulhumale’s land would be ceded to CMC, the company emphatically denied such claims. An official from Urbanco elucidated that the project's entire cost is structured around a well-defined payment plan, with proceeds being generated through the sale of 10 hectares of land in Hulhumale’ and an additional 9.6 hectares in Thilafushi.
Elaborating on the project's timeline, Urbanco divulged that CMC had been entrusted with a three-year window to complete the various phases of the initiative. The project encompasses a range of critical activities, including land dredging, installation of revetment, construction of Hulhumale’ Phase III's newly dredged section road, erection of a bridge, and establishment of a jetty.
The comprehensive scope underscores the strategic importance of this endeavour in bolstering infrastructure, connectivity, and economic growth. Intriguingly, the project is being executed on a contractor finance basis.