Leasing out of 130 acres of land to Orion Group at nominal price: Cox’s Bazar civil society demands cancellation of Tourism Village

Sirajul Mostafa, President, Cox's Bazar District Awami League addressing the press conference on behalf of civil society at Press Club on Saturday.
Sirajul Mostafa, President, Cox's Bazar District Awami League addressing the press conference on behalf of civil society at Press Club on Saturday.
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Kamal Uddin Rahman , Cox’s Bazar :
Civil society of Cox’s Bazar protested allotment of 130 acres of land including Hotel Shoibal at throw away prices to controversial Orion Group to build up Tourism Resort and Entertainment Village at Parjatan Holiday Complex under Public Private Partnership Project (PPP) in the tourist town and they demanded cancellation of the project to save the historical ground, open space , pond and valuable land .
Local elite from civil society and political activists under the banner of Cox’s Bazar Nagorik Samaj. made the call at a press conference at Cox’s Bazar Press Club on Saturday.
Presided over by Sirajul Mostafa, President of District Awami League, Abu Taher, President , Cox’s Bazar Union of Journalists read out the written statement. District Awami League’ General Secretary Mujibur Rahman and President of District Unit of Jatiya Samajtantrik Dal Naimul Haq Chowdhury Tutul also spoke.
They said in the press conference that the government should protect the around 130-acre Parjatan Holiday Complex in Cox’s Bazar instead of “giving it away at a nominal price” for building a tourism village.
They also claimed that the land costs Tk 5,000 crore but the Government is leasing it out to Onion Tourism and Entertainment Limited, a sister concern of — Orion Group at Tk 60 crore only .
Underscoring the long tradition of the place, Sirajul Mostafa, President of District Awami League, said pond, open space and natural environment of the complex are a source of recreation for the local people .
However, Mohammad Mohsin, General Manager of Bangladesh Parjatan Corporation, said the government through an international tender bidding process selected the business conglomerate to develop an international standard tourism village on the 130-acre land.
 It is a first-ever public-private partnership initiative to develop an international tourism facility with the private partner making all the investments, he said. A five-star hotel, golf course, water theme park and other amusement facilities would be built there.
It would be a 50-year tenure and the winning bidder would pay the government more than Tk 772 crore including Tk 60 crore as an upfront premium (contract signing money), he said.
The rest of the amount — Tk 712 crore — would be paid over the period of 45 years, said Mohsin. In addition, the winning bidder would pay three percent of the profit, he said.
Orion would have to invest Tk 1,740 crore in two phases during the five years of construction to build the facility, he said. The contract is expected to be signed soon.
Orion Group Chairman Md Obaidul Karim said they got the project through legal bidding process over a period of three years to become the winning bidder for the project.
“Our vision is to build an international standard hospitality service and an amusement park among other facilities at the site now limping with a dilapidated 22-room motel accommodation,” he said.
Cox’s Bazar is going to be Bangladesh’s iconic tourism destination for locals and foreign tourists alike in near future and their investment effort is laid out in that line, he added.
As per a conceptual design, of the total land area, only 16 acres will be occupied with structures and the rest will have amusement facilities and remain as an open space. The amusement facilities would remain open free of cost for the underprivileged children once a week.
It is mentionable that Orion Development Consortium is set to develop a tourism resort and entertainment village in Cox’s Bazar — billed as the largest in the country — with an estimated investment of about $119 million (around Tk 960 crore) under the public-private partnership framework.
The development comes after the government in 2013 decided to set up a tourism village at the site of Parjatan Holiday Complex in Cox’s Bazar with a view to transforming the beach town into a world-class tourist destination, said an official of the Civil Aviation and Tourism ministry.
Subsequently, a consulting firm was given the task of conducting a feasibility study, which has already been completed.
Cox’s Bazar saw 1.58 million visitors in 2013, and the number is expected to grow to 7 million in 2024, according to the feasibility study.
“The project may account for 20-30 percent of the tourism market of Cox’s Bazar, meaning footfalls of 1-1.5 million per annum.”
A cultural centre, an amusement park, a convention centre, a golf club and a luxury hotel can be built on the 98 acres of land, the study found.
The study recommended a luxury seaside resort with 400-500 guestrooms spread over an area of 17 acres. The guestrooms would be situated in a multi-storied building as well as water villas, garden villas, long-stay villas. The project cost has been estimated at $80 million.
The amusement park consisting of 22 rides can be set up on 15 acres of land. About $12 million will have to be put in to the park over a period of three years.
A cultural centre, which is an untested product in Bangladesh, can be developed at the tourism village.
It would have an amphitheatre for cultural shows, a wax museum, an ethnic resort and a cultural village, spanning an area of 15 acres. The project cost has been estimated to be about $10 million.
“With few resorts offering golf services, golf can be a differentiator for commanding premium.”
Bangladesh Parjatan Corporation invited proposals and got response from a total of six firms.
Of them, four have been identified as eligible firms.
They are: Orion Development Consortium with operating partners Pan Pacific Hotels Group; Premier Group of Companies with operating partner Hilton Hotels and Marriot Hotels; Siam Siam International Group with operating partner Pattaya Park Beach Hotel Co; and Inter Asia-CGGC JV with operating partner Centara Grand and Movenpick Hotel.
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