Prime-Melwa acquire US$ 57.6mn marina-front land at Port City Colombo

From left: CHEC Port City Colombo Sales Director Shane Amadoru, CHEC Port City Colombo Deputy Managing Director Thulci Aluwihare, Prime Group Chairman Premalal Brahmanage, Melwa Group Chairman P.P. Anandaraja, Prime Group Co-Chairperson Sandamini Perera, Melwa Group Director P.P. Muruganandhan, Melwa Group Director P.P. Barathamanickam and Melwa Group Director P.P. Devaraja

Sri Lanka’s Prime Group and Melwa conglomerate have acquired over four acres of premium marina-front land at Port City Colombo for US$ 57.6 million, marking one of the largest recent local investments in the dollar-denominated Special Economic Zone.

The two conglomerates plan to develop a mega ultra-luxury apartment complex on the site, with completion targeted within four years. 

The project, to be undertaken through Prime Melwa Port City (Pvt.) Ltd, is expected to generate an estimated turnover of around US$ 250 million, positioning it among the largest high-end residential developments announced within the reclaimed city.

The parcel is the last directly facing the marina, making it one of the most sought-after plots in the district. With this transaction, seven of the eight land parcels in the marina precinct have now been leased, reflecting nearly 90 percent uptake and underscoring sustained investor appetite, despite the broader macroeconomic headwinds.

Prime Group Chairman Premalal Brahmanage described the move as a strategic step to elevate Sri Lanka’s real estate offering to an international audience, citing the project’s potential to attract foreign buyers, expatriates and business travellers seeking premium waterfront residences. He said the development would align with the group’s ambitions to expand its global footprint while drawing in foreign currency inflows.

A distinctive feature of the Port City projects is that the transactions are denominated in US dollars and other foreign currencies, rather than Sri Lankan rupees, offering the investors a natural hedge against currency volatility and long-term depreciation risk, a factor likely to resonate with the overseas buyers and diaspora investors.

CHEC Port City Colombo (Pvt.) LtdManaging Director Xiong Hongfeng noted the level of commitment by leading local conglomerates signals confidence in both the country’s recovery trajectory and regulatory framework underpinning the Special Economic Zone. He added that the developer remains focused on enabling sustainable, long-term growth within the precinct.