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£330m project announced for Eastside

15 Oct 2021

Who is the TNG Global Foundation?

Mr Tuan Tran is the ultimate beneficial owner of the TNG Global Foundation, which was recently established in Gibraltar. Mr Tran is Vietnamese and also owns Trusted Novus Bank, which recently committed to cover the cost of the Midtown Park. The approximately £3.7 million is expected to be paid before the end of November.

In April 2020, Trusted Novus Bank donated £200,000 to the GHA's Covid-19 fund. The bank's new owner said he was keen to stress the important role that TN Bank would continue to play in the local community.

Just last week TNG hit the headlines again when it purchased the Bayside Road site from Government for its own development for just over £21 million.

Adrian Olivero (pictured above) is a spokesperson for TNG. The former director of Finsbury Trust said the announcement was the culmination of many months of very positive negotiations. He said TNG will soon start working on the plans for the Development and Planning Commission, “on which we look forward to consulting with those who live around the area”. He said TNG is confident the Eastside project will be transformational for Gibraltar, transforming the Eastside “into a hub of economic and leisure activity, providing social and economic benefit to Gibraltar on a scale that we believe will be unprecedented”.

Mr Olivero said the obligations that TNG is assuming under this agreement with the Government demonstrate its commitment to the community.

Minister for Economic Development and Inward Investment says 30 years ago believed the land would have great value

Sir Joe Bossano said when he was Chief Minister over thirty years ago, his GSLP government started the Eastside reclamation in the late 1980s. The Minister for Economic Development and Inward Investment said he always believed that this area of land would have great value and he is very pleased with this deal valued at £330 million.

Sir Joe said the investment was very welcome in the current worldwide economic climate. He said the fact that TNG are self-financing - and will not depend on borrowing money - is a “very good” element of this arrangement, one which previous would-be developers did not. He said the deal was “a very good indicator of Gibraltar’s ability to attract inward investment in spite of the uncertainties created by Brexit and COVID”.

Deputy Chief Minister responsible for Lands: TNG has substance to deliver

Joseph Garcia said he was very pleased to have negotiated this deal together with the Chief Minister - a deal he said was the best value to the tax payer, “awarding development rights to the highest bidder by far”. The Deputy Chief Minister said it was a timely agreement, “given the prevailing economic and public finances circumstances”.

Dr Garcia recognised that it is the third time the Eastside Project is awarded, with the first two unable to get off the ground. But he said TNG is established in Gibraltar and has “substantial assets in Gibraltar already, as well as internationally”. He believes TNG therefore has the substance to deliver this project in a manner that others depending on third party funding have not.

He said the ideas being shared by the developer are also very sensitive to the environment and to the location, “so close to Catalan Bay and Eastern Beach”. Dr Garcia said the developer was very alive to the need to consult with neighbours and work with the DPC to deliver a project that is well received by all stakeholders.

Chief Minister hopes it’ll be third time lucky

The Chief Minister said he hoped it would be “third time lucky” for the Eastside project. Fabian Picardo said the works underway on Hassan Centenary Terraces have proved the value of the plot. He reiterated the point that TNG “is an entity that will be able to use the funding already available to it within the group to undertake the various different phases of this development without having to rely on third party funding”. He said this was an important difference with this group.

He said the agreement is excellent news, “in particular for the purchasers of Hassan Centenary Terraces, as the works on the revetment for Phase Two of that development will now be able to progress immediately without any direct cost having to be met by the tax payer at this particularly difficult time for our public finances”.

The rubble mountain will finally disappear, he said, which will be great news for residents at Catalan Bay, who stand to benefit from the 100 affordable homes that will be constructed.

Mr Picardo said the project would not involve any more significant reclamation works and will be hugely valuable to everyone in Gibraltar. He said it would be sensitive to the historic and environmental significance of Catalan Bay and will be a huge driver of economic benefit to our community.

He called it “a hugely important cash payment and investment”. The Chief Minister said TNG submitted the highest bid for the Eastside, giving rise to the “best deal for the tax payer by far”. Mr Picardo said in the current political and public health circumstances, the agreement with TNG represents a “huge vote of confidence in Gibraltar and its economy”.

“This is for all of us”, he said, “not just for some of us and it should be celebrated by all of us and not just by some of us”.

Tender process in 2020

The tender document filed with Land Property Services made provision for:

* A waterfront promenade to cater for pedestrians and cyclists, to provide a continuous promenade with Eastern Beach to the north and Catalan Bay to the south;
* Adequate provision for public transport facilities and for pedestrian and cycle movement within the development; and
* The urban design aspects of the development together with the architectural treatment of the individual buildings are expected to be of 
the highest quality and of a contemporary nature.
* It also specified that no proposed development could be higher than Hassan Centenary Terraces.

The closing date for the tender was advertised as 04/09/2020.

 

Source: gbc.gi link here.

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