Malé, Maldives – Palm Beach Resort has been put up for sale once again by the State Bank of India, SBI.
This is the fourth time the resort island, Lh. Madhiriguraidhoo has been put up for sale by the bank due to inadequate responses from bidders during the first three attempts for sale.
State Bank of India (SBI) announced to sell the resort on behalf of Ibrahim Ali Manik, the leaseholder of the island. The resort was offered as collateral for a loan borrowed from the bank by Monaza Construction and Guardian Agency Private Limited. SBI received rights to sell Madhiriguraidhoo following a Civil Court verdict in its favor in July, 2018 after the borrowers failed to repay the money owed to the bank.
The deadline for bidders to apply for this bidding is before February 21. The bidding is to start at USD 13 million this time. The initial price announced by SBI was USD 26 million. However, due to inadequate bidders, they decreased the price to USD 15.3 million to USD 14 million and finally USD 13 million this time.
SBI has been trying to sell of the resort since February 2020. The legal team of the resort said that the initial price to be paid was USD 5.5 million which was later increased to USD 8.1 when they went to the bank to pay it off.