Harshini PERERA
There are many condominiums to be redeveloped in the city of Colombo but developers are reluctant to redevelop them. Here a condominium in Colombo 2 in dire need of refurbishment. Picture by Saliya Rupasinghe
There are many condominiums to be redeveloped in the city of Colombo but developers are reluctant to redevelop them, said the General Manager, Condominium Management Authority, (CMA) G. U. Upawansa.
He said that developers are keen on constructing new condominiums because redevelopment brings fewer prospects for them. The CMA has issued 84 completion certificates for condominium projects during the first eight months of this year. Of them 60 were issued for condominiums less than 10 apartments.
A single developer was issued a semi condominium certificate which is under construction. Construction work on new condominiums increased since July this year and a growth is expected in the coming six months, he said.
He said that forty-one condominiums were constructed within the Colombo city limits while 26 condominiums were constructed in Dehiwala and Mt.Lavinia. Three condominiums were constructed in Kandy.
Construction of condominiums in Sri Lanka dropped in the first eight months this year.
Thus it could be due to the global economic crisis and uncertainty that prevailed during the period. Many developers may go to Jaffna and other war-torn areas to construct condominiums in the future, he said.
Along with the drop in construction, redevelopment too has dropped but it is expected to pick up by the end of this year, he said.
Wednesday, September 2, 2009
Weak Bond Sri Lanka cement firm hit by construction slump
17 Aug, 2009 12:20:37
(LBO) - Sri Lanka's Tokyo Cement Company group said it made a loss of 56 million rupees in the June 2009 quarter compared with a 212 million rupee profit a year ago.
Sales fell 18 percent to 3.2 billion rupees in the quarter from a year ago owing to a slump in construction caused by economic slowdown, the company said in a stock exchange filing.
"The drop in sales is due to continuing sluggishness in the construction industry," the company, a joint venture between Mitsui Mining Company, the largest coal-mining company in Japan, and the local St. Anthony's Consolidated, said.
But it said short-term prospects were better as the 30-year war in the north and east has ended with government forces defeating the Tamil Tigers in May which is seen as reviving economic growth.
"Sales are likely to improve with the revival of the construction industry and opening of the roads to the north," the company statement said.
A new clinker grinding mill commissioned in the eastern port of Trincomalee where it has its plant is geared to meet the anticipated increase in demand.
Tokyo Cement attributed the June quarter loss also to an increase in depreciation charges following the commissioning of the new mill and a biomass power plant.
It said there was an "appreciable increase" in interest due to financing of the new mill and the biomass power plant costing about five billion rupees.
(LBO) - Sri Lanka's Tokyo Cement Company group said it made a loss of 56 million rupees in the June 2009 quarter compared with a 212 million rupee profit a year ago.
Sales fell 18 percent to 3.2 billion rupees in the quarter from a year ago owing to a slump in construction caused by economic slowdown, the company said in a stock exchange filing.
"The drop in sales is due to continuing sluggishness in the construction industry," the company, a joint venture between Mitsui Mining Company, the largest coal-mining company in Japan, and the local St. Anthony's Consolidated, said.
But it said short-term prospects were better as the 30-year war in the north and east has ended with government forces defeating the Tamil Tigers in May which is seen as reviving economic growth.
"Sales are likely to improve with the revival of the construction industry and opening of the roads to the north," the company statement said.
A new clinker grinding mill commissioned in the eastern port of Trincomalee where it has its plant is geared to meet the anticipated increase in demand.
Tokyo Cement attributed the June quarter loss also to an increase in depreciation charges following the commissioning of the new mill and a biomass power plant.
It said there was an "appreciable increase" in interest due to financing of the new mill and the biomass power plant costing about five billion rupees.
Excon - Sri Lanka Construction exhibition
Excon - Sri Lanka exhibition will be the region's largest trade fair on Construction Equipments & Construction Technology. Excon - Sri Lanka will be held at Bandaranaike Memorial International Conference Hall (BMICH) from 30 Oct to 01 Nov 2009. Manufacturers of Construction Equipments & related components will attract the Contractors, Defence, Leasing & Finance Companies, Machinery & Equipment Dealers.
http://www.biztradeshows.com/trade-events/excon-srilanka.html
http://www.biztradeshows.com/trade-events/excon-srilanka.html
Visiting British parliamentarian proposes a 'Sri Lanka Construction Fund'
Sat, Aug 29, 2009, 07:32 pm SL Time, ColomboPage News Desk, Sri Lanka.
Aug 29, Colombo: Visiting British Conservative Party shadow Defence Secretary Dr. Liam Fox has discussed the modalities of a fund proposed to rebuild Sri Lanka with the Sri Lankan Foreign Minister Rohitha Bogollagama.
In a meeting with the FM at the Foreign Ministry yesterday, the British parliamentarian has reiterated his proposal of a 'Sri Lanka Construction Fund', made during his last visit to Sri Lanka in March 2009.
The British MP reiterated during his meeting his view that only constructive involvement with the Government of Sri Lanka could help the victims of terrorism, while continued lecturing by some members of the international community benefited no one.
http://www.colombopage.com/archive_091/Aug1251554569CH.html
Aug 29, Colombo: Visiting British Conservative Party shadow Defence Secretary Dr. Liam Fox has discussed the modalities of a fund proposed to rebuild Sri Lanka with the Sri Lankan Foreign Minister Rohitha Bogollagama.
In a meeting with the FM at the Foreign Ministry yesterday, the British parliamentarian has reiterated his proposal of a 'Sri Lanka Construction Fund', made during his last visit to Sri Lanka in March 2009.
The British MP reiterated during his meeting his view that only constructive involvement with the Government of Sri Lanka could help the victims of terrorism, while continued lecturing by some members of the international community benefited no one.
http://www.colombopage.com/archive_091/Aug1251554569CH.html
Time To Join Hands To Uplift the Construction Sector Economy
An Introduction to the Chamber of Construction Industry, Sri Lanka
By. Ranjith Dayaratne
It is not unfair to say that recently the construction sector Economy of Sri Lanka has faced a severe and unprecedented downfall. Reasons for this are of course manifold. The world was undeniably heading for a recession and the events of the September 11th in USA have made it a nightmare for the world economy. Sri Lankan economy has been on a slippery road for the past decade or so emanating from the extra-ordinary expenditure of war efforts, loss of preparedness to harness the benefits of the open economy and globalisation and indeed, the general sense of hopelessness that has gripped the Nation in an alarming atmosphere of growing corruption, petty politics and misguided economic policies and misadventures.
http://www.buildsrilanka.com/ccisl/IntrobyRD.htm
By. Ranjith Dayaratne
It is not unfair to say that recently the construction sector Economy of Sri Lanka has faced a severe and unprecedented downfall. Reasons for this are of course manifold. The world was undeniably heading for a recession and the events of the September 11th in USA have made it a nightmare for the world economy. Sri Lankan economy has been on a slippery road for the past decade or so emanating from the extra-ordinary expenditure of war efforts, loss of preparedness to harness the benefits of the open economy and globalisation and indeed, the general sense of hopelessness that has gripped the Nation in an alarming atmosphere of growing corruption, petty politics and misguided economic policies and misadventures.
http://www.buildsrilanka.com/ccisl/IntrobyRD.htm
Tuesday, September 1, 2009
Monday, August 24, 2009- Sri Lanka opens doors to foreign investors
SRI Lanka is calling on foreign investments to pump prime its economy which had been ripped by over 30 years of civil war.
State Corp (Pvt) Ltd (SCorp) managing director and chief executive officer Keerthi Sri Weerasinghe said there are over US$70 billion (RM246 billion) worth of jobs available in construction, infrastructure and tourism.
Keerthi, who is chairman of the Coconut Development Authority under the Ministry of Plantation Industries said there are also contracts to be undertaken in mineral mining and housing.
"Because of the war, we could not undertake a lot of developments. Many buildings, roads and bridges were ruined during that time. We are now opening doors for investors to come in and develop the country for us," Keerthi told Business Times in an interview in Kuala Lumpur recently.
The present government has introduced a 10-year economic development policy the "Mahinda Chintana" where the focus is to steer investments to vital sectors such as agriculture and infrastructure development to pump up the economy.
Bilateral investment agreements, supported by a constitutional guarantee, provide strong protection to investors in Sri Lanka. Such an agreement exist between Sri Lanka and Malaysia.
Keerthi said a few Malaysian firms have made successful foray into the country and the situation was viable for new players to come in now.
Malaysia remains the largest investor in the country, mainly in telecommunications, infrastructure and property development.
Companies such as Dialog Telekom plc, a unit of TM International Bhd, MTD Construction Sdn Bhd and HeiTech Padu Bhd had ventured into Sri Lanka despite the war.
"We are an open economy and the government is interested to invite investors in oil and gas (O&G) and agriculture. We have identified six sites in north-west and south of Sri Lanka for O&G activities. We are also looking to revive a cement factory which had been shut down during the war and are calling for interested parties to bid," Keerthi said.
Keerthi said the Indian and Chinese governments, and the International Monetary Fund would lend their support financially while building materials were readily available for use.
By Business Times (by Sharen Kaur)
Posted by Kimberg at 5:29 PM
Labels: Sri Lanka
State Corp (Pvt) Ltd (SCorp) managing director and chief executive officer Keerthi Sri Weerasinghe said there are over US$70 billion (RM246 billion) worth of jobs available in construction, infrastructure and tourism.
Keerthi, who is chairman of the Coconut Development Authority under the Ministry of Plantation Industries said there are also contracts to be undertaken in mineral mining and housing.
"Because of the war, we could not undertake a lot of developments. Many buildings, roads and bridges were ruined during that time. We are now opening doors for investors to come in and develop the country for us," Keerthi told Business Times in an interview in Kuala Lumpur recently.
The present government has introduced a 10-year economic development policy the "Mahinda Chintana" where the focus is to steer investments to vital sectors such as agriculture and infrastructure development to pump up the economy.
Bilateral investment agreements, supported by a constitutional guarantee, provide strong protection to investors in Sri Lanka. Such an agreement exist between Sri Lanka and Malaysia.
Keerthi said a few Malaysian firms have made successful foray into the country and the situation was viable for new players to come in now.
Malaysia remains the largest investor in the country, mainly in telecommunications, infrastructure and property development.
Companies such as Dialog Telekom plc, a unit of TM International Bhd, MTD Construction Sdn Bhd and HeiTech Padu Bhd had ventured into Sri Lanka despite the war.
"We are an open economy and the government is interested to invite investors in oil and gas (O&G) and agriculture. We have identified six sites in north-west and south of Sri Lanka for O&G activities. We are also looking to revive a cement factory which had been shut down during the war and are calling for interested parties to bid," Keerthi said.
Keerthi said the Indian and Chinese governments, and the International Monetary Fund would lend their support financially while building materials were readily available for use.
By Business Times (by Sharen Kaur)
Posted by Kimberg at 5:29 PM
Labels: Sri Lanka
Sri Lanka`s biggest Real Estate Company confirms that bubble has burst Friday, 6 March 2009 - 1:59 PM SL Time
Sri Lanka`s biggest Real Estate Company is Overseas Realty (Ceylon) Ltd. It owns the Colombo World Trade Centre twin towers, and is building the massive Havelock City Project (shown in the photo, adjoining the Wellawatte canal).
The blurb for Havelock City reads, `Havelock City is the single largest mixed-use real estate development project to be undertaken in Sri Lanka. The residential component of Havelock City would comprise 8 towers with the first phase of 226 apartments already under construction. It will have all modern conveniences that would be expected of any international development of this magnitude. The commercial component would comprise a large shopping mall with department stores, a hypermarket, a multiplex cinema, numerous shops, cafes and restaurants.`
On the 5th of March, Overseas Realty (Ceylon) Ltd. (ORCL) said it is finding it difficult to sell apartments in a new high-rise condominium complex being built in the Sri Lankan capital Colombo due to the economic crisis. S P Tao, head of Singapore`s Shing Kwan group, said, ``The global financial crisis has had a direct impact on the progress of sales of condominium units in the Havelock City project. Significant demand was expected from the Sri Lankan diaspora overseas. However, given the dire and still uncertain economic situation prevailing, compounded by devalued currencies, potential buyers have deferred their investment decisions.`
The project`s first phase consisting of 226 apartments in two residential blocks is scheduled to be completed by June 2009.
Source(s)
http://www.property-report.com/property-news-top-stories.php?id=2366&date=050309
The blurb for Havelock City reads, `Havelock City is the single largest mixed-use real estate development project to be undertaken in Sri Lanka. The residential component of Havelock City would comprise 8 towers with the first phase of 226 apartments already under construction. It will have all modern conveniences that would be expected of any international development of this magnitude. The commercial component would comprise a large shopping mall with department stores, a hypermarket, a multiplex cinema, numerous shops, cafes and restaurants.`
On the 5th of March, Overseas Realty (Ceylon) Ltd. (ORCL) said it is finding it difficult to sell apartments in a new high-rise condominium complex being built in the Sri Lankan capital Colombo due to the economic crisis. S P Tao, head of Singapore`s Shing Kwan group, said, ``The global financial crisis has had a direct impact on the progress of sales of condominium units in the Havelock City project. Significant demand was expected from the Sri Lankan diaspora overseas. However, given the dire and still uncertain economic situation prevailing, compounded by devalued currencies, potential buyers have deferred their investment decisions.`
The project`s first phase consisting of 226 apartments in two residential blocks is scheduled to be completed by June 2009.
Source(s)
http://www.property-report.com/property-news-top-stories.php?id=2366&date=050309
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