The boom just before EU accession seems to have turned everyone into a developer – including a lot of cowboys.

But some of the leading players in the sector believe that the situation has now settled down and that property and construction, currently 3.4 per cent of GDP by value added in 2014, will continue to be one of the most important sectors of the Maltese economy in the coming years.

Ballut Blocks’ managing director Paul Vella, who has 48 years’ experience in the construction industry, said that as Malta evolves, the country would increasingly require sustainable projects, both in terms of public procurement as well as private projects.

“These will drive the economy to grow further and generate a better standard of living for all. There are opportunities to improve the sustainability of future buildings housing Malta’s new industrial and economical clusters by adopting innovative and green practices.

He is optimistic that stakeholders can – and will – improve the sector, some of which has unfortunately generated considerable bad press over the years.

“Maltese professionals operating within the building and construction industry in Malta – including entrepreneurs, architects, engineers, designers, urban planners and policymakers – need to work closer together to seek environmental sustainability in terms of design, materials and regulation, as in this way they will also be ensuring the long-term future of a stable construction industry in Malta. This cannot be emphasised enough considering Malta’s small and densely populated island,” he said.

“Undoubtedly, the industry will be increasingly challenged to make sensible use of land and natural resources, while reducing both indoor and outdoor pollution, during construction phase and during the buildings’ usages.

“On the positive side, the construction industry professionals are growing increasingly aware of the responsibilities in planning, designing and constructing buildings that can fulfil the needs of future generations and offer them the right environments where they can achieve their aspirations.

“It is up to serious, responsible and professional companies in the construction industry, irrespective of whether they are big, medium-sized or small, to lead the way through construction projects that are architecturally suitable for Malta, while sustaining its economic and financial growth,” Mr Vella said.

One of the areas that generates most complaints is roadworks. At the moment, there are more than 300 roadworks under way across Malta. This represents an increase of more than 50 per cent on the 200 roadworks that were causing congestion six months ago.

Purchasers also look for well-run developments that are maintained and kept up to standard, safeguarding their investment

Chris Refalo, the project manager of V&C Contractors Ltd, is well aware that the very mention of roadworks makes people roll their eyes – for both the inconvenience they cause as well as for the sometimes shoddy workmanship.

“Construction activities are innately burdensome. Simply doing an alteration in one’s home will affect the people who live there. When you escalate the users exponentially – say road users who are becoming increasingly impatient because of the extensive works – any intervention in the road network is bound to create news,” he said.

“Additionally, in contrast with construction works in private dwellings, roadworks are extensively visible. Thus, issues which in other industries might pass unnoticed will inevitably be a top priority in everyone’s debate agenda.”

Mr Refalo said that the situation was, of course, complex and that the problems accumulated from various other factors.

However, he blamed poor workmanship squarely on the fact that the procurement methods used by the government put contractors in a position where they must cut costs to win tenders.

“The problem relies within the fact that work is awarded to the ‘cheapest compliant bidders’ without any weighting whatsoever to the abilities of potential contractors.

“If at evaluation stage the technical ability, experience and track record were given the same importance as price, clients would get value for money in both the short and long term. This will instigate a natural selection which will either push out incompetent contractors – or force them to improve,” he said.

The property sector has also changed dramatically with the peak of nearly 12,000 applications a few years ago, dropping to a few thousand.

The amount of new properties may have been declining but this has been offset by the tremendous increase in rental properties, boosting the ‘buy-to-sell’ sector.

“Last year we saw an increase of 20 per cent in rental investments and this trend continued throughout the first quarter of 2015,” Re/Max director Jeff Buttigieg said.

“This higher demand is due to a number of reasons, one of which is that industries with foreign expatriates are expanding, ad hoc major projects that require foreigners – such as the Delimara project – which are coming to fruition, and the increase in demand for short-term holiday homes. This demand has attracted homeowners of properties that previously were available for long term to shift to accommodate short-term lets for a better return.”

The increase in supply has been met from both new builds and refurbished properties being put up for rent.

Mr Buttigieg said the refurbished properties were very often homes that did match the present trends – either because they were furnished with old outdated furniture, or did not have the standard amenities such as air conditioning and LCD TV.

He was optimistic that the increase would continue throughout 2015 – and that the demand would spread wider.

“We don’t feel that there is any major shortfall of properties; it is just that most expatriates prefer to live in the Sliema and St Julian’s area. However, they are now choosing to expand their search and are most definitely finding a home,” he reassured.

Another trend kicked off within the past decade or so was the preference for complexes. Michael De Maria, the sales and marketing manager for Pender Gardens is not in the least bit surprise by the shift.

“One of the main reasons for this trend is the availability of everything you need on-site or very close by. Our slogan ‘everything surrounds you’ is just that.

“And it is not only about the amenities on site – for retail, to leisure and parking – and the surroundings.

“Purchasers also look for well-run developments that are maintained and kept up to standard, safeguarding their investment.”

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