Colonial properties to redevelop CeyBank Rest in Nuwara Eliya

Wednesday, 22 November 2023 00:02 - - {{hitsCtrl.values.hits}}

Cabinet approved lease agreement comes after two RFPs by UDA
Base value throughout 50-years lease slated at Rs. 385 m on a design, restoration, build, finance, operation and transfer basis
Colonial-type holiday resort has 20 rooms, located within walking distance to most tourist hotspots — Victoria Park, Golf Club, Gregory Lake

By Charumini de Silva

The Cabinet of Ministers approved to redevelop and maintain the old CeyBank Rest building and land in Nuwara Eliya to Colonial Properties Ltd., for 50 years.

The move comes after the Urban Development Authority (UDA) calling for Request for Proposals (RFPs) twice from a wider pool of potential partners to redevelop CeyBank Rest building and land extending up to two acres, one rood and 38 perches at Queen’s Road, Nuwara Eliya. The Daily FT learns that the base value throughout the 50-years lease, will be Rs. 385 million. The land will be leased for 50-years on a design, restoration, build, finance, operation and transfer (DRBFOT) basis.

The CeyBank Rest in Nuwara Eliya has a colonial-type holiday resort with 20 rooms, located in the heart of the city within walking distance to most of the tourist hotspots — Victoria Park, Golf Club and Gregory Lake.

On 29 July 2022, the Urban Development and Housing Ministry’s Standing Cabinet-Appointed Negotiating Committee Chairman called for RFPs from prospective investors for the redevelopment of prime real estate. The first deadline set for RFPs was on 5 September and the deadline was extended later by a week or till 12 September to accommodate several more investors that have shown interest in the redevelopment of the property. Previously, the property was known as the Heritage Hotel and later it was leased to the Bank of Ceylon (BOC).

The proposal to this effect submitted by Urban Development and Housing Minister Prasanna Ranatunga was approved by the Cabinet of Ministers at its meeting on Monday.