An expensive glut

Abstract

Finally, 'several' property developers (as reported by Herman Grech, The Times, January 12) are admitting that, with over 30,000 vacant properties in these islands and with thousands (some 3,300) apartments to be developed in the next few years on the site of former hotels (such as Crowne Plaza, Mistra Village and Galaxy Hotel) or even restaurants (Ta' Cassia) or vintage Sliema houses, housing supply is far exceeding demand. Mr Grech also reports that there are 60 pending applications with MEPA for the construction of apartments. Even sites previously earmarked for non-residential development, such as White Rocks, will now have a residential component - are we steeling ourselves for a massive population influx? These avant-garde developers spoke through an unnamed local property negotiator. Why is it anathema for any aspiring or accomplished politician, businessman or property negotiator to call a spade a spade and openly admit that construction at current levels is unsustainable and should be reined in? The answer is obvious... because of the obvious ties between the two major political parties and the construction industry. The Diocesan Commission for Justice and Peace certainly did not mince words when, in its paper issued on January 5, it expressed concern about the "endemic and uncontrollable speculative practices" in the property market.