On 3 October 2016, Malta Properties Company plc revealed that, following the announcement dated 22 March 2016, it has entered into a tripartite Memorandum of Understanding with Mr Joseph Portelli (the “Developer”) and with GO plc (“GO”) regarding a proposed development at the Company’s St. George’s Exchange site in St Julian’s (the “St. George’s Exchange site”), which is currently held on lease by GO.
The development as projected in the MOU consists of a mixed-use development, which is envisaged to incorporate residential and commercial areas, including a shopping mall of at least 10,000 sqm, as well as a car park (the “Project”). The proposed development will be carried out on the site known as Mercury House, which is in the process of being acquired by the Developer, and the St. George’s Exchange Site. As part of this agreement, GO will vacate the St. George’s Exchange site and relocate its equipment and infrastructure to an alternative area granted by the Developer.
Malta Properties will use the entire proceeds received from the aforementioned agreement to finance its 50% stake in the joint venture which will own and operate the shopping mall to be built within the complex. It is projected that the Project will be completed by 2023.
The proposed collaboration is subject to various conditions and certain aspects of the proposed collaboration are yet to be finalised. Malta Properties will make additional announcements as and when necessary.