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Rs.7
bn, 1,000-room tourist resort in Digana “We are discussing with the Mahaweli Authority to obtain the land next to the Victoria Golf Course and bordering the Victoria reservoir in Digana, to build a resort hotel project,” T. Sooriyagoda, Director Development and Resort Management, Sri Lanka Tourist Board said. He said the Urban Development Authority zoning plans in Kandy has identified this land as suitable for recreational purposes and if the land is obtained, the basic infrastructure will be developed by the Tourist Board. “We plan to develop the infrastructure such as water, roads, pipelines and waste water and lease the land to prospective developers to build the resort,” he said, adding that the basic infrastructure will cost Rs.800 million and the total project after completion will be worth Rs.7 billion. There is a huge demand for land in Kandy by both local and foreign investors for hotel ventures, but land in Kandy is very scarce. Sooriyagoda said there are about 10 project proposals to develop hotels in Kandy, but there is a land constraint. “The extent of the land that investors want is very limited in Kandy,” he said.Kandy has 20 hotels, and seven are located in the city itself. Earl's Regency, Hotel Casamara, Queen's Hotel, Hotel Suisse, Hotel Swiss Residence, Hotel Topaz and Hotel Hill Top are categorised as city hotels and Mahaweli Reach is categorised as the only five star hotel by the Kandy Hotelier's Association. Helga’s Folly, Hotel Thilanka and Queen's Hotel are categorised as Heritage Hotels. Tourism industry analysts said that since the resort hotels account for broadly 65 percent of the industry’s revenue it is important to have more of such products. They
said that since Sri Lanka has been gradually transforming itself
from largely a ‘sun and sand’ offering to include ‘eco,
culture and adventure’ tourism, Kandy needs some diverse product
offerings to complement this transition. |
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