Former Mayor of SJ and Kotte MC claims it incurs a loss of Rs. 3.6 mn per month Construction work of Luxury shopping mall not completed: Mayor

Published : 9:05 am  August 9, 2018 | No comments so far |  |  (178) reads | 

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By Indika Sri Aravinda

The unused luxury shopping mall constructed by the Sri Jayawardenapura- Kotte Municipality was making a loss of Rs. 3.6 million a month, former Mayor Janaka Ranawaka said yesterday.


Speaking to the Daily Mirror, Ranawaka stated that a total of Rs. 2 billion had been spent on the project. “We estimated that we would earn at least Rs. 4.3 million when the building was finally in use. It has been about three months since the project was completed but they have not made any use of it as yet,” he said.

 

Recently elected Mayor of Sri Jayawardenapura- Kotte Municipality Madura Vithanage commenting on the project said that it was not vested with the public as construction was yet to be completed


The initial blue print of the project stated that a ten storey building would be constructed at a cost of Rs. 1.5 billion. The building was to house a hotel, mini theatre, conference hall, roof top terrace and 
swimming pool.


Nawaloka Constructions Ltd. was chosen to carry out the project in August 2014. Speaking to the media at the time, Ranawaka said the project would be completed in 24 months and that the complex spread over 125,000 square feet would have 243 shops, a hotel, a 3D cinema and office spaces.


However, recently elected Mayor of Sri Jayawardenapura- Kotte Municipality Madura Vithanage commenting on the project said that it was not vested with the public as construction was yet to be completed. He went on to say that officials had not closely studied feasibility reports for the project when it was initially tabled.


“The municipality does not have the capacity to maintain such a building. This was a not good decision that was made. We have to employ an entire new department to maintain the premises.”


Even though Rs. 2 billion was spent on the project, Rs. 1,400  million of it was collected through the sale of spaces even before the building was constructed, while the remaining Rs. 600 million was from the municipality, Vithanage explained.

 

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Pix by Nimal Siri Edirisinghe