Housing Development Corporation (HDC) has awarded a road development project in Hulhumalé to China’s Rotime Engineering and Technology for MVR 91.8 million, following the execution of an agreement earlier this month.
The agreement was signed on December 3 by HDC Managing Director Ali Zuhair and Rotime Managing Director Zhou Weidong. According to HDC, the project was awarded as part of a settlement arrangement linked to an earlier contract granted to the company.
In a statement issued on Friday, HDC said the road development project replaces the temporary workers’ accommodation project in Hulhumalé that had been awarded to Rotime in October 2022. The accommodation block had been planned to support the construction of an international sports stadium, a project that has since been halted following revisions to the Hulhumalé masterplan.
HDC said the revised arrangement was reached through a settlement agreement, resulting in Rotime being contracted to undertake road works instead. Under the project, the company will develop 19,001 square metres of asphalt roads built to modern standards. This includes five roads in Phase I and the road near the Vinares flats in Phase II.
In addition, Rotime will carry out repairs on 8,012 square metres of damaged roads across both Phase I and Phase II. Construction will begin in Phase I and move to Phase II after the initial works are completed.
The total project value of MVR 91.8 million includes Goods and Services Tax. HDC said 50 percent of the cost will be allocated in the first year in a way that avoids pressure on cash flow, while the remaining 50 percent will be paid from 2027 over a six year period.
