Valamar Delayed Investments Due to Uncertain Application of Real Estate and Tourist Land Laws

The tourist company Valamar Riviera reported on Wednesday that the investment in Valamar Pinia Family Suites has been postponed due to delays in the preparation of technical documentation, as well as uncertainties in the business environment, and they believe that the Government will adopt quality measures and decisions by the end of the year that will improve the investment environment and encourage the development of the tourism sector.

“The investment in Valamar Pinia Family Suites has been postponed due to delays in the preparation of technical documentation, as well as uncertainties in the business environment such as the uncertain application of the real estate tax law and the tourist land law that may affect the profitability of the investment,” emphasized Valamar Riviera.

They add that the tourism sector and hoteliers continuously cooperate with the Government and believe that “the Government will adopt quality measures and decisions by the end of the year that will improve the investment environment and encourage further development of the entire tourism sector, and thus the complete realization of Valamar’s planned investment cycle worth 2 billion kuna.”

>>> Valamar Riviera Abandoned Investment in the Valamar Pinia Family Suites Project in Poreč

Valamar announced on Tuesday that it is postponing the investment in Valamar Pinia Family Suites planned for 2018 due to uncertain fiscal policy for investors in tourism and challenges in preparing the necessary technical documentation. It also emphasized that the final decision on investments for 2018 will be made at the end of November this year.

Tourism Minister Gari Cappelli stated today that he does not expect either stagnation or a decline in investments in tourism in 2018.

“I would not say that yesterday’s announcements from one of the largest tourism companies in Croatia about the postponement of some investments for 2018 mean their stagnation or decline, because according to the data we have so far, it will be similar to this year’s, with new investments being announced, such as an investment of around 30 million euros next year in the airport on Lošinj, in some ACI marinas, and even in Kupare, for which we expect the investor to announce which new hotel chain/brand they have chosen after they ‘abandoned’ Carlton-Ritz. Along with large hotel companies, airports, and marinas, we have announcements of investments for next year from small hoteliers, and certainly, more will be invested on the continent than before,” said Cappelli.