Market redevelopment delayed over competing land agreements, says council
The redevelopment project was awarded to Maldives Transport and Contracting Company on March 15 at a cost of MVR 117 million.
The Malé City Council has stated that delays in handing over land for the redevelopment of the Malé Market area are linked to contractual issues involving agreements signed by the previous council with two separate parties for the same site.
The redevelopment project was awarded to Maldives Transport and Contracting Company on March 15 at a cost of MVR 117 million.
According to the project agreement, the six-storey market building covering 85,000 square feet is to be completed within two years, with payments scheduled over four years and two months.
Earlier this week, the Ministry of Housing, Land and Urban Development stated that administrative arrangements and financing for the project had been completed and that the contractor was ready to begin work.
The ministry said the delay was due to the council’s failure to vacate and hand over the site.
Responding to the statement, Malé City Council Media Official Aminath Shathfa said the land had been allocated to two companies during the mayoral term of President Mohamed Muizzu, who previously served as Mayor of Malé.
“How can the land be handed over? During the former Mayor’s term, this land was given to two companies. An agreement was signed and drawings were approved for one party, yet it was also awarded to another,” Shathfa said in a post on X while sharing an internal audit report.
According to the audit report:
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An agreement was signed with Eco International Engineering on August 19, 2022
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A second agreement was signed with Hyre Engineering Consultancy on March 9, 2023
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No records were found confirming the cancellation of the agreement with Eco International Engineering
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No meeting minutes were found documenting a decision to award the project to another party
The report also stated:
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Permission from the National Tender Board was not obtained before opening the project for bidding
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There was no verification that shortlisted proponents met required criteria
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Neither company was registered in the national registry of construction practitioners
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Hyre Engineering Consultancy was not among the shortlisted parties but was awarded the project without a public announcement
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Amendments to project scope and pricing were made outside procedures outlined in the Public Finance Regulation
Current Mayor Adam Azim had previously raised the matter during a council meeting.
According to the Housing Ministry, the new market building will include:
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A fire suppression system
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Five elevators
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Stainless steel fixtures for fish stalls
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Wooden crates for produce
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A five-ton ice machine
The planned layout of the building includes:
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Basement: Parking
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Ground floor: Fish market
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First to third floors: Fruit and vegetable market
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Terrace: Food court
