Saturday Dec 13, 2025
Saturday Dec 13, 2025
Saturday, 13 December 2025 00:42 - - {{hitsCtrl.values.hits}}
The Cabinet of Ministers has approved a fresh call for investment proposals to lease a prime block of land in Perahera Mawatha, Colombo 3, following the cancellation of a previous lease agreement due to the investor’s failure to meet contractual obligations.
The approval allows the Urban Development Authority (UDA) to invite proposals under the International Competitive Procurement Procedure and to lease the property for 99-years, based on a valuation by the Government Chief Assessor.
The land parcel, measuring 02 roods and 23.1 perches and located on Perahera Mawatha, Kollupitiya was earlier approved for disposal in September 2024 for a mixed development project, including residential components. However, the Standing Negotiations Committee recommended terminating the lease after the selected investor failed to fulfil the agreed development conditions.
Following this, the UDA Board of Management on 4 September 2025 authorised the re-calling of proposals to ensure the land is utilised for a suitable development initiative.
A special Cabinet-appointed committee on UDA land disposal has now endorsed calling for new investment proposals for hotel or commercial development, with the option to allocate up to 50% of the land for residential use.
It is expected that the revised procurement process to attract credible investors capable of executing a high-value project on one of Colombo’s most sought-after urban locations.
The proposal to this effect was submitted by Urban Development Minister Bimal Rathnayake.
