Palm City registers profit in first year of operations

PalmCityResidences, the Maltese and Kuwaiti-owned luxury residential village in Libya, has registered a profit in its first year of operations (2009) and is on track to achieve the ambitious projected financial targets. This is a remarkable achievement when considering that the first tenants moved in during the month of June 2009 when the development was still very much of a construction site. Whilst still under construction, PalmCityhad already secured a substantial number of leases from various companies. Now that the project is practically complete and with a fully fledged operations team in place, PalmCityis pleased to report that over 50% of the 413 units are under lease.

Developed by Mediterranean Investments Holding p.l.c. (MIH) and located on the pristine coastline of Janzour, a stone’s throw away from the capital of Tripoli, the five-star residences are the first to cater for the specific needs and expectations of expatriates moving to Libya. PalmCityis not just a home but a fully serviced village offering a comprehensive array of facilities.

The village offers a community lifestyle that provides an ideal setting for expatriates and their families. Throughout the past twelve months, Palm City has become home to people of various nationalities and coming from different industry sectors, giving them the opportunity to enjoy an environment that is truly ‘a home away from home’.

“We expect 95% of the units at PalmCityto be occupied by the end of this year and we are well on track to achieve a targeted EBIDTA of around 80% of total revenue. At present, our EBIDTA* stands at around 62%, which already demonstrates a very healthy ratio. Once all units are leased and the streamlining of operations completed, we expect to reach our 80% EBIDTA target” said Reuben Xuereb, Managing Director for Palm City Ltd.

Palm City Ltd at presents employs a strong team of 75 qualified and skilled people, which will increase to 120 by year end. The residential village offers top notch accommodation and a host of amenities and leisure facilities centred around a village-like piazza that includes a supermarket, a variety of retail shops, a laundry, a bank, a health clinic, a beauty salon, and restaurants within a secured, family-friendly environment.

All retail units within the piazza have already been leased to third party operators.