UAE's Eagle Hills, which has today signed an agreement with the Maldives government to invest in a USD 20 billion world-class waterfront marina and real estate project in Rasmale', has committed to developing 5000 housing units in Hulhumale', the Housing Ministry announced today.
The ministry assured that the project would not in any way affect the number of land plots and flats pledged to the public from Rasmale'.
The commercial terms agreement for the USD 20 billion investment was signed today in a ceremony held in Abu Dhabi.
The agreement was signed by Minister of Infrastructure, Housing and Urban Development Dr Abdulla Muththalib and Eagles Hills Chairman Mohamed Alabbar.
Minister Muththalib stated that Eagles Hills will be bearing the cost of developing the housing units, and reiterated that the government will not be spending on this. The government will instead cover the costs of the units from the revenues received from the units after they are completed and handed over.
"This historical commercial terms agreement with Eagle Hills concerns the largest foreign investment program in Maldives' history. This project is being done without the State taking any loans, without making any tax concessions, bringing in over USD 20 billion in foreign investment to the Maldives' economy, along with over USD 11 billion in State revenue, and creating over 54,000 jobs," Muththalib stated.
"Most importantly, there will be no change to the previously announced social housing numbers through this project. Additionally, along with this project, Eagle Hills will be developing 5,000 housing units in Hulhumale'."
Muththalib reiterated that the government will not bear any financial responsibilities for the 5000 housing units, which Eagle Hills will be developing on a contractor finance model.
"The government is not doing anything like providing a sovereign guarantee to the company for the development of these. The costs will be covered during the stage of selling the housing units once they are developed and handed over," the minister explained.
Minister Muththalib also confirmed that there will no tax concessions provided for Eagle Hills' Rasmale' project.
"The billion dollar project will be carried out without any tax concessions, with all the funding of the project to be paid through Maldives' banks."
Eagle Hills is a private real estate investment and development company with a 45 hotel portfolio which has invested in over 18 countries.
Eagle Hills develops mixed-use and lifestyle destinations across the UAE and international markets with a focus on quality and luxury.
The total investment value of the Eagle Hills' Rasmale' project is more than double the Maldives' nominal GDP, which is at USD 8 billion.
Major global real estate developer Emaar Properties, which is internationally renowned for the Burj Khalifa and Dubai Mall, will also be part of this project.
The proposed Maldives Waterfront and Marina will come with hotels, resorts, premium residences, branded residences, marina experiences, waterfront promenades, dining, retail, wellness and entertainment features, a joint statement details.
The development is designed to bring together education, healthcare, community infrastructure and high-quality public spaces, building an integrated environment combining tourism, residential life and year-around economic activity, it states.
Properties at the Maldives Waterfront and Marina are offered through a long-term leasehold framework in line with Maldivian law, with terms of up to 99 years. With each transfer, either through sale or inheritance, a new leasehold term of up to 99 years will commence, assuring lasting continuity and legal and financial security for owners across generations, the government explains.
The project will be located at the 500 hectares of currently reclaimed land on Rasmale'. The Housing Ministry assured that this project will in no way affect the pledged flats and land plots from Rasmale' to Maldivians.
