Maltese developer Joseph Portelli confirms interest in buying Montenegrin island

Joseph Portelli is considering buying an island in the Adriatic state of Montenegro but the construction mogul has denied the deal has been sealed yet.

Portelli has confirmed with the Times of Malta his intention to buy the island, insisting he has "great plans" for it.

The Maltese developer has visited St Mark’s island, also known as Stradioti, in the Bay of Kotor, claiming that Montenegrin officials "rolled out the red carpet" for him. The island is currently owned by the Russian company Metropol belonging to Russian tycoon Mikhail Slipenchuk, who is also a member of the Russian state Duma (parliament).

The island costs between €90 million and €100 million to buy but Portelli denied reports originating in the Montenegrin press that he has already concluded the sale for €100 million.

"Yes, we did go to see the island and I am interested in it because it is beautiful beyond imagination. The government there has already drafted plans for it, and I believe our vision would make it even more beautiful," Portelli was quoted. He said that any development would be trusted in the hands of some of the world’s best designers and architects.

"They are very keen and enthusiastic about our vision," he said.

However, the developer said this was a huge decision, which is why he was still mulling his options. 

Stradioti was acquired by Metropol 15 years ago and it covers almost 340,000sq.m of lush woodland and olive groves.

A tourist resort was built there in the 1960s but was abandoned almost 30 years ago with the breakup of the former Yugoslavia.

Montenegro gained independence in 2006 after it split from Serbia following a referendum. It has a population of more than 600,000.

Portelli’s interest in Montenegro will not be the first Maltese investment in the country. Enemalta had controversially invested in a windfarm project in the country, buying the shares from Cifidex at a higher premium than what they had been originally purchased. Cifidex had acquired a loan from Yorgen Fenech’s 17 Black to buy the original shares, eventually paying back the money and making a profit on the back of Enemalta.

The windfarm deal is subject to a police investigation and magisterial inquiry.