Foreign property buyers want ‘more than sea views,’ says MIDI CEO Mark Portelli

Mark Portelli highlighed growing demand from globally mobile buyers who expect world-class standards at an industry panel event heard earlier this month. “Today’s clients want more than sea views –⁠ they want access to cultural life, wellness infrastructure, retail convenience, and environmentally conscious design,” he said.

His comments were made after it was revealed that a new wave of high-end residential developments is set to inject over 2,500 luxury units into Malta’s property market over the coming years.

The figures were laid out in a presentation by Sharon Grima, Group Senior Marketing Manager at CSB Group at the start of a Malta Business Network (MBN) panel discussion that focused on Special Designated Areas (SDAs) – a status granted to luxury property developments that allows non-EU nationals to purchase property in Malta. 

Between 1999 and 2022, Malta’s first-generation SDAs delivered circa 2,300 residential units, anchored by projects like Portomaso, Tigné Point, and Pender Gardens over a period of 23 years. Meanwhile, a second wave of just three years between 2023 and 2026 will add around 1,300 additional units.

And, the third generation is set to surpass both, with more than 2,500 new homes expected from a swathe of upcoming projects that may benefit from SDA status including Naxxar’s Targa Square, Villa Rosa, Manoel Island, TownSquare, PX Lettings, the second phase of Fort Chambray, Mistra Heights, Metropolis, and the remaining phases of Smart City.

It was said that SDAs remain one of Malta’s most robust property investments offering no requirement for so-called Acquisition of Immovable Property (AIP) permits, freedom to own multiple units, no rental restrictions on foreign owners, and strong legal safeguards for foreign buyers.

“SDAs are not just surviving –⁠ they are evolving and thriving,” said Michael J Zammit, CEO of CSB Group and Joint Owner of Malta Sotheby’s International Realty.

Panellists included Ray Demicoli, Principal Architect at DeMicoli & Associates, John Zarb, Director and former PwC partner, and Mark Portelli, CEO of MIDI plc, developer of Tigné Point and Manoel Island.

The panel explored how SDAs have transformed from pure investment products into curated lifestyle offerings.

Architect Ray Demicoli, reflected on how design expectations have evolved.

“Earlier SDA projects were driven by speed and efficiency, but buyers today are much more design-conscious. They’re looking for developments that offer not just luxury, but identity, context, and coherence,” he said.

John Zarb, an advisor with decades of experience in property and finance, said that while SDAs remain attractive to investors, the questions being asked are different.

“There’s increasing scrutiny on governance, project sustainability, and post-completion value. Investors want certainty –⁠ not just in legal terms, but in quality and future resale performance,” he explained.

Several panellists also noted that the SDA framework continues to offer unmatched advantages for non-EU investors, especially when compared to more restrictive regimes in other European jurisdictions.

MBN board member Justin Mizzi, who introduced the event, emphasised the work done by panellists in compiling and analysing market data ahead of the session. “This isn’t just about opinion –⁠ this discussion was built on real insights and hard numbers. The SDA story is still being written, but it’s clear that the next chapter will be as transformative as the first.”