Decision on MIDI’s Manoel Island development expected by end of 2024

The Planning Authority (PA) is expected to deliver a decision regarding the first full permit application for the development of the Manoel Island project in the second half of 2024, according to the developer.

In its interim financial statements, MIDI, the developer of Tigné Point and Manoel Island, explained that a Heritage Impact Assessment (HIA) requested by the PA is now complete and has been submitted to the Superintendence of Cultural Heritage (SCH).

The HIA was requested due to the project’s potential impact on the status of Valletta, across the Marsamxett Harbour, as a UNESCO World Heritage Site. MIDI said it is confident that the proposed development of Manoel Island has no impact on this status, noting that the SCH, after having consulted the National World Heritage Technical Committee, had not objected to the development application when initially consulted by the PA.

MIDI also said that it continues to be engaged in discussions with the Government regarding a contract extension for the completion of works. The original emphyteutical deed signed between the company and the Government earmarks 31st March 2023 as the date by which the entire development had to be “substantially completed”.

The company is now pointing to provisions within the deed that provide for an extension to the completion date in the event of delays arising from events or circumstances outside its control.

MIDI argues that it “experienced a number of delays associated with the issue of building permits and encountered site-related conditions which were not foreseen at the point in time when the emphyteutical concession was granted.”

Obtaining building permits has proven difficult, with dogged campaigners opposed to the site’s development mounting significant legal challenges against MIDI’s plans.

The discovery of archaeological remains on the Manoel Island site also led to a revision of its proposed masterplan, resulting in a reduction of development volumes from 127,000sqm to 95,000sqm.

“In the light of these circumstances and the contractual obligations emanating from the deed, the group is currently actively engaged in discussions on this matter with the Government and on the basis of the ongoing discussions, the Board is confident that an outcome which will enable the successful completion of the project will be achieved,” it said.

After years of looking for an outside investor, MIDI in December 2021 signed a non-binding memorandum of understanding with AC Enterprises Ltd, led by Anton Camilleri. AC Enterprises is the company behind the major Villa Rosa development in St Julian’s.

It reported that “although significant progress has been registered no transaction has been concluded yet” with AC Enterprises.