Polytec Asset (00208) Macau project may be reclaimed by Govt

    Kowloon Development (00034) and its 73.4%-owned listed subsidiary Polytec Asset (00208) said in respect of the development project located at Lote P, Novos Aterros da Areia Preta, Macau and under the related land concession, the project has to be completed and fulfilled all the conditions associated with the concession on or before 25 December 2015.
  Polytec Asset acquired the co-investment rights in three property development projects located at Novos Aterros da Areia Preta, Macau in 2006.
  Owing to the delay by the Macau SAR Government in granting the requisite approvals and permits for the development of the project, construction work on the project did not commence until August 2014. As a result, the project cannot be completed before the expiry date. An application has been made to the Macau SAR Government for an extension of the expiry date for five years to 25 December 2020.
  At present, the Macau SAR Government has not indicated whether an extension will be granted. If the expiry date is not extended, the Macau SAR Government may exercise its right under the Macau new Land Law to reclaim the land of the project without any compensation to New Bedford. It is expected that the Macau SAR Government will announce the decision on the measure to be adopted to deal with the aforesaid issue of the project on or before 10 December 2015.