It is reported that the investment of one billion US dollars, which was to be brought with the intervention of State Minister Mrs. Diana Gamage, for Nelum Tower, along with a casino, has failed due to various reasons.
According to the Executive Officer of Lotus Tower Management Private Limited, Mr. Prasad Samarasinghe, retired Major General, is looking for a new investor for the Lotus Tower.
Last year, Nam Singapore signed a memorandum of understanding with Nelum Kuluna Management Pvt. Ltd. to develop an entertainment center within the premises. However, the relevant agreement has been canceled on the seventh of May.
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Singapore company to invest US $ 1b in Lotus Tower
Kreate Design (Pvt) Limited of Singapore along with global investors will pump in USD 1 billion within the next three years for multi sector investments in the Colombo Lotus Tower. The MoU in this regard was signed on Friday.
The first $ 100 million of this investment will be received by April next year.
Business Development Director, Kreate Design Singapore, Cintia Chan said that they will channel the funds though their company and international investors who are all upbeat on the investment in Sri Lanka.
She told Sunday Observer Business that they are keen to convert Colombo Lotus Tower as a hub to develop trade, investment and tourism activities between Singapore and Sri Lanka.
“We are planning further investments at D. R. Wijewardene Mawatha and the surrounding areas specially to develop water based sports activities as well. We are also hoping to bring in around one million tourists to Sri Lanka within the next two years mainly from China and regional countries such as Singapore and Malaysia,” she said.
CEO, Lotus Tower Development , Rtd. Maj Gen. Prasad Samarasinghe said that the Singapore company has also taken over nearly 50,000 square feet from the tower for this project and several other investments. “They have also paid us USD 56 million, making it the first USD investment in the Colombo Lotus Tower.
He said that although the Lotus Tower was constructed 10 years ago it began generating revenue only two months ago.
State Minister of Tourism Diana Gamage who was the main negotiator in this initiative said that this is the single biggest investment that has been pledged for the tourism sector for the past few years. “This will also help to develop the night economy.”
She said that all should shed their political and other differences and work to bring investments of this nature to Sri Lanka.
She also spelt out plans for the setting up of a “Tourist Zone” in the Mannar island and thereby cater for tourism related activities to generate foreign exchange.