Page 15 - CPM Sri Lanka-Chartered Manager-Sept. 2021

THE INSTITUTE OF CHARTERED PROFESSIONAL MANAGERS OF SRI LANKA
How will the 91 Ha of public areas be
maintained?
Maintenance of public areas within the Port City
would be entrusted to a joint venture between
the Government (51%) and Project Company (49%) generate returns for its financiers.
known as the Estate Management Company
(EMC). The EMC would provide a high standard of
service on carrying out of maintenance works of
public spaces such as the beach, water areas, parks,
roads and streets. The EMC will operate as a not-
for-profit venture that will seek reimbursement of
its expenses by levying a service charge from all
occupiers of the city.
What has been the land allocation
mechanism between the Project Company
and the Government of Sri Lanka?
CHEC Port City Colombo (Pvt) Ltd - the Project
Company or master developer, entered into an
agreement with the Government in 2016, to develop
the Port City as a public-private partnership (PPP).
JANUARY 2021
The PPP arrangement with the Government
provides freehold ownership of all reclaimed
land to GoSL whilst leasehold rights over 116 ha of
marketable land (43% of land) will be granted for
CPCC to monetise to recover its investment and
The GoSL will retain 62 ha (23%) of marketable
land that it could lease out to investors, including
strategic plots allocated for an international school,
hospital as well as an exhibition and convention
centre. GoSL will also own 91 ha (34%) of public
spaces such as a 13 ha public beach, 27 ha of parks,
roads, and streets which would otherwise have to
be developed at the GoSL’s own expense.
The Government’s obligation in this PPP is to
ensure a conducive environment for doing
business with a supportive legal framework and
infrastructure such as road connectivity and
national infrastructure programs for electricity and
utilities.
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