The Albanian Investment Corporation has canceled the procedure for selecting a private partner that would develop two accommodation structures in Palasa and Dhërmi, in exchange for the construction of a new public services center on the South coast. The reason for the cancellation was the insufficient number of applications submitted in the first phase of the competition, according to a notice published by the Corporation. The deadline for expressions of interest by investors was October 28.
"Due to the insufficient number of applications submitted for Phase I of the competitive procedure," the cancellation notice states, specifying that the procedure will not proceed to the private partner selection phase.
The "Pala Public Services Center" project is conceived as a development agreement with private enterprise, where the state makes properties available in tourist areas, while the investor undertakes the construction of public facilities and the development of hotel structures.
The scheme includes three separate zones, one for public functions and two for the development of hotels and tourist services.
The public services center is planned near the Palasa roundabout, on a state-owned property with an area of approximately 54,391 square meters. It includes the Palasa police station, the Dhërmi Border Police, facilities for the Republic Guard, the fire service, and health and emergency services.
In exchange for financing these facilities, the private partner will develop two accommodation structures on state-owned properties in Palasa and Dhërmi.
The property in Palasa, where the police station functions are located, has an area of 2,555 square meters, with an indicative development potential of approximately 3,577 square meters.
In Dhërmi, the project includes the Border Police property near the coastline, with a plot of approximately 1,500 square meters and an existing building of 312 square meters. The maximum indicative development area was approximately 2,100 square meters.
According to the competition conditions, the private investor had to transfer to the Corporation at least 35% of the developed area in each accommodation structure.
This part would serve as a countervalue for the construction of the Public Services Center. The cancellation of the procedure in Palasa and Dhërmi follows other cases of projects of the Albanian Investment Corporation that have been canceled or re-announced due to an insufficient number of applications./ Monitor
