The Fortina Group has formally requested access to the full National Audit Office (NAO) valuation reports regarding its Tigné properties, saying transparency is essential for a fair assessment of recent findings.

After controversy arose regarding a NAO report into a waiver of development restrictions on part of its properties, Fortina issued a detailed response to address certain “misrepresentations”.

Fortina pointed out that it holds absolute and encumbered title to the seafront property which it purchased from private individuals in the 1960s and 1980s.

“The issue regarding restrictions concerns only part of the landlocked properties situated behind the privately owned Fortina land,” it said.

“The latter was acquired in ownership under three separate notarial deeds executed in 1991, 1996, and 2000 respectively. Contrary to erroneous assertions in certain media reports, these properties are held under full freehold ownership, NOT under emphyteusis, lease, or any form of conditional or temporary tenure.”

“This ownership by Fortina is a matter of public record and is beyond dispute.”

These three notarial deeds contained certain restrictive conditions, including requirements that designated portions of the lands be utilised for hotel extensions and, in certain instances, height limitations.

Fortina pointed out that in 2017 it sought approval from the Lands Authority to lift some of these restrictions on specifically designated portions of the properties, while maintaining its principal hotel business operations.

“Significantly, the contract of acquisition from Government of 2000 explicitly contemplated that any future waiver of height limitations on the relevant portion would not require additional consideration to the Government,” it said.

“It bears emphasis that the current development is partly constructed upon property acquired privately – not from the Government of Malta – by the Fortina Group through arms-length commercial transactions in the 1960s.”

“This property situated on the Seafront remains entirely unrestricted with respect to use or building height, being held under full private ownership without any governmental conditions or limitations.”

In 2024, seven years after it submitted an application with the Lands Authority, legislation was enacted to establish a comprehensive framework governing valuations for condition waivers under government land contracts.

“Operating in the absence of such statutory guidance, the Group developed robust and defensible valuation methodologies based upon expert professional advice from qualified practitioners,” it said.

“Should the same excerise be conducted today under the existing legal framework, there is no doubt that the required waivers would have been obtained at a significantly lower cost than that to which Fortina has committed.”

The group also warned that its preliminary  preliminary analysis of the NAO report identified “significant methodological flaws” in the referenced valuations.

“In the interests of conducting a thorough and comprehensive review, the Group has formally requested access to the complete valuation reports from the NAO—documentation that remains essential to any meaningful assessment of the report’s conclusions.”

“Despite the direct relevance of these materials to the Group’s properties and the public importance of this matter, such documentation has not yet been provided.”

“The Group respectfully submits that transparency and due process require access to these fundamental supporting materials.”

“The Group remains committed to the completion of its comprehensive analysis of the NAO report and will provide further substantive commentary upon conclusion of that review.”

“In the interim, the Fortina Group respectfully calls upon media outlets and commentators to ensure that reporting on this matter is based upon verified facts rather than speculation, and that the principles of fair comment and balanced journalism are observed in addressing matters of such public significance.”

“The Fortina Group looks forward to the opportunity to present a complete and detailed response once its comprehensive review process has been concluded.”

Credit: Efficient Solutions in Construction