The Wall Street Journal-20080131-We Built It and They Are Coming- If Slowly
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We Built It and They Are Coming, If Slowly
Full Text (341 words)We believe your article "What If You Built an Island Paradise and No One Came?" (page one, Jan. 11) portrays a twisted picture of the island of Hulhumale in the Maldives. For the residential developments, as well as commercial and industrial investment opportunities announced by the Hulhumale Development Corp., there has been substantial support. The population of Hulhumale has also been increasing in line with residential developments being offered.
The existing roads in Hulhumale constitute the major road network for the full development. Currently, the target date of completion of the whole of Hulhumale is the year 2020. Thus it is not to be expected that the major roads, whose design and concept takes into consideration the future plans, shall now be fully occupied with vehicles or people.
You said in the article that "the government is now short of funds for construction." The $30 million development package you referenced was used to develop 280 apartment units, the major road network and primary infrastructure establishments. Out of this, the apartment units have been financed to the public over long-term financing packages, mainly because of a lack of financial institutions that are willing to offer long-term credit facilities for the purchase of property, especially for the income bracket of the people to whom most of these units are allocated. The initial 280 units were targeted to the social-housing category, which constitutes people in lower-income brackets.
There has been positive interest from investors for investment opportunities advertised by the corporation. The corporation has recently leased land for development of a five-star hotel, and substantial interest was expressed by a number of investors through their submission of bids. A number of local investors are also operating in the industrial zone of Hulhumale, including fish processing, cement batching and other light-industrial activities.
The issue of rising sea levels, global warming and other natural disasters, such as tsunamis, are issues being faced by all low-lying nations and islands, and aren't specific only to Hulhumale.
Nuha Mohamed Riza
Deputy Director
Marketing Department
Hulhumale Development Corporation
Hulhumale, Maldives
