Western Homes Ltd owner Bobby Khan claims his new Queen Elizabeth Drive apartment block is losing $120,000 in monthly rental income because the Suva City Council is permitting requirements demanded by the Chinese Embassy.
Mr Khan says The Grand, a six-storey building next to the Embassy of the People’s Republic of China, has eight apartments with an estimated rental appraisal income of $90,000 and a penthouse at the top which can generate an additional income of $30,000 per month.
However, he said he had not received a certificate of completion or consent to occupy the building from the Suva City Council because of security concerns raised by the embassy.
Earlier this year Chinese ambassador Zhou Jian raised security concerns regarding the building with the Fiji Government. Prime Minister Sitiveni Rabuka said the issue concerned a host country’s responsibilities for foreign diplomatic missions’ security.
These responsibilities are contained in the Vienna Convention on Diplomatic Relations which regulates how governments deal with each other, including ensuring the security and privacy of their diplomatic missions.
Article 22 of the Convention requires that foreign embassy premises must be “inviolable”, meaning that government personnel cannot enter them and must ensure they are protected from intrusion, damage or disturbance.
Mr Khan complains that these issues were not brought to his attention by the Department of Town and Country Planning (DTCP) at the Ministry of Local Government and Housing when he first lodged his development plans.
The department is responsible for approving planning schemes and amendments and development applications in town planning areas.
“There was no mention of the Vienna Convention from the start. The land came up for sale, I bought it and there was no issue, at that time,” Mr Khan told The Fiji Times.
“I wanted to build a nice property at the front, so I designed a plan, took it to the council, the council sent it to the DTCP, outline was approved by DTCP, they gave us some conditions to meet, then we submitted our final drawings to the council, they approved it and so we started building.
“In fact, no ordinary persons would know what the Vienna Convention was.”
In a letter addressed to Local Government Minister Maciu Nalumisa, Mr Khan listed the demands made by the embassy, which included that the property was monitored by Chinese Embassy cameras.
The embassy has demanded access to The Grand’s security logbook to monitor movements of individuals within the property. It also requires that none of the apartments can be leased to staff of the Australian or American diplomatic missions or their diplomats. It also wants the right to approve any tenants taking apartments in the property.
“First, they wanted us to put a screen on the side of the building towards the Chinese Embassy, so that my tenants cannot see towards the Chinese Embassy,” Mr Khan said.
“I paid $25,000 to frost the whole glass from top to the bottom of the building so that there’s no view towards the Chinese Embassy.
“After I’d done it, one of the officers from the SCC came to inspect the place, said that they’ll get back to me and here I am still waiting.
“We’ve been having meetings with Mr Nalumisa, the permanent secretary and SCC but all they’re saying is that they have to wait for the Chinese Embassy to see what they have got to say.
“The way it looks to me, it’s like the Chinese Embassy is running the whole show. Like it’s running the SCC and as an investor, I think that is very sad.”
Responding to The Fiji Times questions, Mr Nalumisa said there were “some loopholes” in the processes and procedures of the development application.
“That’s what we’re trying to establish right now. There’s a process that was taken before the building permit was given for the construction of The Grand.
“I think going forward, this (Vienna Convention) is something that needs to be considered for any development near embassies. Or maybe it’s also time that we look for spaces that we can just have these embassies allocated.”
Mr Nalumisa confirmed consultations were taking place with all parties involved and resolving the issue was being “seriously considered, because it involves one of our diplomatic partners”.
Questions sent to the Chinese Embassy remain unanswered.
Mr Khan continues to lose hundreds of thousands of dollars in income as the months go by.
“Why was it for sale then? They should just stop selling land next to the embassies.
“I had actually made a one-week offer to the Chinese Embassy to buy the building for $50million, and that’s plus VAT. The offer closed yesterday without any response from them.”
Asked what his next move would be if the certificate of completion and permit to occupy are not granted, Mr Khan said “I wouldn’t have any choice but to take SCC to court and have the court decide.”
