Sri Lanka’s construction cost is at least 30% higher than of Malaysia, said Nayana Mawilmada, Sector Head, Property Group at John Keells Holdings.
“The costs should be brought down by reducing the taxes and cutting lending rates applicable to the construction industry,” he told a breakfast meeting organised by the John Keells Properties, together with DFCC Bank at the Cinnamon Grand yesterday.
“The construction industry has tremendous potential to attract foreign investment and hence the sector should be provided more incentives and right policies,” he added.
Commenting on the Port City he said that it would bring in several positive things to Sri Lanka more than the negatives. “The global publicity the project receives will also boost Sri Lanka investments and the condominium market.”
The Prot City would also add around 20, 000 apartments in 20 years. “In addition the Financial Centre and other projects would also open up new employment opportunities creating a huge demand for Colombo house and apartment rentals. This is because most of the workers in Colombo Prot City would not reside in it.”
Commenting on the local properly market he said that several new players have invested in it while some succeeded others have abandoned the projects and these were acquired by other companies.
He said that the John Keells Cinnamon Life projects had some hiccups at the initial stage and all these have now been overcome and they will complete the project if they have buyers or not for the apartments.