GOVERNMENT and municipal departments yesterday rounded the new Madison Mall in Strovolos, which opened its doors to the public last week despite not having a permit to operate.
AD Shopping Galleries Ltd (ADSG) which owns the Mall had not been granted a permit by the Town Planning Department when they opened last Wednesday.
Since it opened, roads in the surrounding area in Strovolos have been increasingly congested with Christmas traffic.
Savvas Iliofotou, Strovolos Mayor, said yesterday: “The opening was not legal, because they did not have a permit. It is not a proper action to start a business and then go through the official channels.”
The Municipality has launched an appeal against ADSG, on the grounds of an unauthorised change of use of building. Prior to being a mall, the premises were the home of the Cyprus Stock Exchange. With the change of use, the government must reassess health and safety requirements such as the number of fire escapes, and consider environmental and traffic issues.
ADSG Chief Executive, Iacovos Constantinides said yesterday: “We are in the process of getting a licence, and have already completed various stages.”
Asked about opening without a permit, and the traffic issue, he said “The building did have a commercial licence, and so one could claim that even the existing license is valid. As for traffic, the area was already close to capacity and there has not been a large increase. It has only increased by around three or four per cent since we opened.”
Constantinides acknowledged that more work was required, and was keen to offer his support to any regional development. “Work needs to be done and we are prepared to help financially and in other ways. For example we have already launched the first of three planned shuttle services.”
He also defended the project’s viability, saying: “Here is a building that has been unoccupied for 20 years. Now we are creating jobs and establishing a commercial centre. It is a big project and over 600 families are depending on it.”
For Iliofotou the matter is not just about legality, but also principle “We do not want to give the impression that people can do what they want. We have appealed through the courts and we are now positive that we can legalise what (ADSG) have done.”
He added “It is not about seeking to benefit Strovolos. I think it is in the consumers’ interest to have competition, but commercial life outside the area needs to be protected too.”
ADSG are now operating on a temporary permit while they await the decision of the TPD, who manage the application process and issue permits.
A source within the Environmental Services said the main subject under discussion was traffic, which has been very congested since the opening. “My opinion is that this will die down, as it did with the opening of the Cyprus Mall next door.”
Alecos Michaelides, Public Works Department Director, said: “We were asked to comment about the traffic, and we suggested that (the TPD) do not accept any development, as the traffic there is already crowded. With this mall it will be even more crowded.”
If they were to go ahead, however, additional infrastructure would be required. “We suggested that the applicant pay €1 million to help finance a development project in the area.”
