By Ed Attwood
Funds still not yet secured for $750m real estate project, says developer, deal will be reached in “a few weeks”
Construction on Bahrain’s $750m Marina West project has not yet restarted, despite previous claims from the developer that work would recommence in January.
“We were hoping to restart work in January, but there has been a delay until the funds have been secured,” Khalid Al Khaja, head of sales for Marina West, told Arabian Business on Thursday.
“We think this will take in the region of a few weeks, but we will make that announcement to the press once it has been confirmed.”
Work on the troubled project, which is based in Budaiya Village and consists of 10 residential towers and a five-start hotel, was halted in March last year due to a lack of funds.
In May, Marina West’s chief executive, Mahmood Janahi, said that he was determined to complete the project, and that negotiations were under way with a series of potential investors to add “fresh impetus” to the residential site.
When questioned as to whether construction was likely to restart in the first quarter of the year, Al Khaja said that there was still no concrete date planned.
Over 120 home buyers in Marina West have clubbed together to present a petition to office of Sheikh Salman bin Hamad Al Khalifa, Bahrain’s crown prince and chairman of the Economic Development Board (EDB).
One investor told Arabian Business on Thursday that the petition was still with the EDB, and awaiting the attention of the crown prince.
“With regard to work commencing on site, I can see the rusting towers daily from where I live and they have all remained static,” the investor added.
“Maybe the management should swing the crane arms around occasionally to give the impression that work is under way on site, much in the same manner that they issue press statements regularly over the last year declaring that additional finance is imminent.”
In email correspondence seen by Arabian Business, the investor group has threatened to file a slew of lawsuits against the developers, AAJ Holdings and MJ Holdings.
The correspondence also said that each suit would typically be on behalf of a single individual in a single apartment, and that if the owner won a suit, then that entire building would be shut down. The group says it has owners in five buildings who are now prepared to go to court.
This company treats their investors with arrogant disdain, I sent them a formal notification of termination in accordance with the contract and they did not even bother to acknowledge receipt
Surely if a case is won in court then the settlement should be financial or if they cannot pay they should not be allowed to trade.