Complaints Over Waterside Project & Misunderstanding Permission Procedures
Following complaints from people who bought land at a new waterfront city project west of Rakhine State’s capital Sittwe, the state government said its project partner, BXT Co, had sold the plots without its permission because it did not understand the procedures. It is not authorized to sell land. The project is a joint venture between Rakhine State government and Korea-based BXT to reclaim land on the western bank of the town and establish a new waterfront city. The project was launched in March 2016 on 90 acres of land as a 30-70 joint venture between the state government and BXT.
BXT sold the land at a price of 500,000 to 600,000 kyats per square feet of land with buyers also being asked to put down a deposit of one million kyats. The company handed over only receipts for payment but no other documents. More than one month passed with no construction work being done on the site. Then on Feb. 13, the company informed the buyers they were required to pay 30 percent of the price of the plots in cash, which raised their suspicions.