EFFORTS are underway to resolve stalled projects and protect the rights of investors.
Deputy Premier Shaikh Khalid bin Abdulla Al Khalifa revealed that there were two stalled developments in Al Areen area and that the Ministerial Committee for Developmental Projects and Infrastructure, which he chairs, was dealing with one of them.
One of the project has been referred to court, while the other was being resolved, he said in a written response to Parliament.
“Sunset Hills (Tilal Al Ghoroob) is in court, while Elegant City (Al Madina Al Aneeqa) is still with the ministerial committee and is getting resolved,” said Shaikh Khalid in response to a question by MP Bader Al Dossary on stalled projects in Al Areen.
Review
“The Cabinet referred Elegant City to us for review in November 2019. Work on the project had started in 2011. It was supposed to be finished in one year but the developer faced difficulties despite completing 85 per cent of the work.
“The project includes 60 villas of which 44 were sold off-plan. The developer had collected BD3.6 million from investors. However, it was stalled because electricity and water connection was not granted as infrastructure levy amounting to BD309,000 was not paid.
“We have decided that the issue is not core. The developer has agreed to pay the levy whenever the whole area is completely zoned, which we are following up.
“On agreements between developers and tenants, it is a contractual matter which we don’t interfere in.”
Shaikh Khalid said the Sunset Hills case was referred to the ministerial committee in August 2015 following off-plan sale.
“Sunset Hills, which includes 10 villas, 10 apartment buildings and 41 homes besides a multi-purpose building, was launched by a developer in 2007 and should have been completed in 2009,” he said.
“In October 2015, we decided it was of a judicial nature and referred it to the stalled real estate dispute settlement committee. We found the developer was incapable despite making off-plan sales.
“The issue is out of our hands.”
Off-plan refers to sale or buying of a property before it is built, with only the plans available for inspection.
Shaikh Khalid said Bahrain is committed to resolving all matters related to stalled projects.
Deputy Premiers are not obliged to appear during the weekly Parliament session to respond to queries from MPs.
Meanwhile, Works, Municipalities Affairs and Urban Planning Minister Essam Khalaf is set to appear to answer three questions. While one pertains to municipal and infrastructure projects in the Northern Governorate constituency 12, the others are related to shrimping ban and allocation of services plots in Salman Town.
“We have completed work to expand Zaid Bin Omaira Avenue covering a long stretch of constituency 12, besides constructing pavements, car parks and carrying out repairs and expansions to sewage networks in Malkiya, Saddad, Karzakan and Al Safriya area,” said Mr Khalaf.
He also said that while permanent fishing nets in the sea were allowed, it was the responsibility of fishermen to release shrimps in line with the ongoing ban.
Housing Minister Bassem Al Hamer will also appear to respond to two questions – one on a new rule that prevents families from benefiting from housing services should one of them own a property, and the other on plans for 40,000 homes pledged by the government.
“Around 6,350 families have until date benefited from the social housing financing scheme Mazaya and from units in new towns as we work to push ahead with more distribution of ready homes.”
mohammed@gdn.com.bh