Social housing projects to continue ‘soon’ following bank green light

Malita Investments has received the bank’s green light to finance its social housing projects which should continue “soon”.

The company, which is 82 per cent owned by the government, announced through a statement on the Malta Stock Exchange that it has “secured a sanction letter for financing to enable it to complete the affordable housing project”.

The letter grants Malita the go-ahead to resume works on social housing projects that had been stalled.

On March 28, Malita said works on the housing projects will restart “in the near term”.

“The board is pleased to confirm that the company is engaging with its contractors with a view to restarting works on the relevant sites, with a view to works resuming in the near term subject to the satisfaction of the applicable conditions,” the company said.

The company had run into severe financial trouble over the past year, forcing it to halt three of its ongoing social housing projects, including a flagship one in Ħal Farruġ, Luqa.

Various contractors involved in that project have since filed court action, claiming they are owed millions for works carried out in Luqa.

The National Audit Office is investigating Malita following reports over cost overruns, delays in social housing projects, claims of unpaid bills to contractors and allegations of political interference.

Malita was originally set up as a special purpose vehicle to help fund major public infrastructure projects but, in more recent years, its focus has narrowed more specifically onto social housing projects.