On 9 February Mediterranean Investments Holding plc issued a Company Announcement providing details on the progress achieved in its two investments in Libya.
MIH announced that the Palm City Residences were completed at the end of November 2010 with more than 70% of the residential units already leased out. The company explained that most of the remaining units have already been reserved for corporate clients and once contracts with these tenants are concluded the Village will be fully leased out. Lessees include prestigious brands and global conglomerates from construction, hospitality, oil and gas, financial services and infrastructure business segments. Tenants come from various countries, including Norway, Spain, Portugal, Germany, Brazil, Italy, the United States, the UK and Malta.
MIH reported that the profitability of the company was secured with leases of between three to five years. Tenants who sign up, pay one year’s rent in advance and a six-month security deposit.
MIH stated that due to the positive response to Palm City, it has already embarked on its second development, the Medina Tower, in the heart of Tripoli. Design plans have been finalized and approvals have been received for the construction of a 40-storey tower above ground level and four floors at basement level for underground parking. Medina Tower is a mixed-use development (the first of its kind in Libya) and will comprise 238 apartments (most of which have open sea views), 10,400 square metres of retail space, 8,400 square metres of conference and health and leisure facilities and 920 car spaces. Talks have been entered into with a number of world- renowned retailing brands who have already shown a keen interest in taking up space at Medina Tower.
MIH stated that it joined forces with International Hotel Investments plc (25% shareholder) and Economic Development Real Estate Investments Holding plc (50% shareholder), a Libyan sovereign fund, to complete the Medina Tower project within a 40-month period. Construction is set to commence in the coming weeks.
MIH is a joint venture between the Corinthia Group and the National Real Estate Company (NREC) of Kuwait