Malta’s land bonanza: How public wealth fuels private fortunes

Controversial deals signed off by Lands Authority CEO Robert Vella reveal a pattern in which valuable and limited public land is sold for a pittance, with a total lack of accountability, as more deals continue to be signed.

From the golden sands of Armier to beachside concessions, the Villa Rosa alley to the green spaces of Mellieħa, and the coastline of Xgħajra, a troubling pattern emerges: questionable deals under the stewardship of the Lands Authority.

These arrangements have one glaring constant: Lands Authority CEO Robert Vella signing off deals and giving away prime public land as questions arise about what he stood to gain.

Vella’s leadership of the Lands Authority has resulted in a decline in public accountability, with major deals benefitting particular developers that remain unexplained. Even the developers are complaining, saying the rules should be the same for everyone.

Appointed in 2021, with over 35 years of public service and a degree in Lands and Environmental Planning, Vella’s tenure has been marred by allegations of shady deals.

The Shift is highlighting only some of the most controversial in recent years. Despite press reports on these deals, no action has been taken to protect public land or even justify decisions.

Controversial deals

The transfer of Armier’s Palm Beach Lido illustrates the failings of Malta’s governance, as private interests are served at the public’s expense. The government got €20,000 from a €2 million deal.

The Lands Authority approved the concession’s transfer to G3 Finance Plc, gifting the company a 30-year windfall. G3 Finance is controlled by the owners of Mellieħa’s Pergola Hotel, including Daniel Grima, the managing director.

In St George’s Bay, a public alley was sold for just €134,000, far below its €3 million valuation. Anton Camilleri, known as Tal-Franċiż, acquired it to expand his €300 million Villa Rosa development in St Julian’s, which includes 34-storey towers.

Lands Authority Chairman John Vassallo and CEO Robert Vella overruled objections from governors Odette Lewis and Rebekah Borg. This deal sparked public debate, but the Lands Authority pushed it through despite public concern.

Governors who backed the Lands Authority decision included Ernest Azzopardi, Lauren Ellul, Joseph Scalpello, Cleaven Tabone, Paul Mifsud, and Labour MP Alex Muscat.

A 4,000-square-metre green plot in Mellieħa was sold to developer Paul Attard, Secretary General of the Malta Developers Association, in another of these deals.

He agreed to pay  €380,000 annually through a lease-to-buy deal for a €50 million project.  The Lands Authority is refusing to disclose crucial information on the sale of the government plot in the area known as Tal-Qortin.

Attard, a key player in GAP Holdings, has profited significantly from several government land deals, like the seafront plot he acquired in Qajjenza.

Land at the cost of public welfare

Another case involves a 250-square-metre site in Victoria, Gozo, illegally occupied by Ronnie and William Gatt of Gatt Tarmac Ltd.

Their occupation was legitimised through a tailored tender, allowing them to profit from apartments and penthouses they illegally built on public land. Before moving into property, the Gatt brothers made their wealth in the tarmac industry.

An investigation showed that a tender issued for the sale of public land last January had already been compromised before its publication.

The Xgħajra waterfront concession granted to Ivan Vassallo of Technoline has also raised serious questions about the manoeuvres by the Lands Authority to help Pierre Sladden acquire a seaside property he planned to develop into a restaurant.

The land concession, awarded by the Lands Authority, originally belonged to a relative of Pierre Sladden, who had long sought to buy it, only to see the property transferred to Vassallo’s Eurybates Ltd after government intervention.

Vassallo and Sladden were charged with corruption and money laundering in relation to the corrupt Vitals hospitals deal, which led to a freezing order on their assets.

This troubling pattern of land deals continues unchecked, with the Lands Authority consistently failing to be held accountable for the loss of public assets and the unfair level playing field the interventions of its CEO have created.