Sri Lanka’s flagship Port City Colombo development has gained a fresh boost as a Singapore-led consortium announced a major investment in a new 34-storey commercial tower, marking one of the most significant international commitments to the project this year. The announcement comes at a time when Port City’s broader development activity has accelerated during the first ten months of 2025, offering a glimmer of optimism for a country still navigating its economic recovery.
A consortium headed by Canary Wharf Holdings Pte Ltd has signed an agreement with CHEC Port City Colombo (Pvt) Ltd to develop the Colombo Gateway Tower One, a Grade-A office complex that will introduce 28,000 square metres of premium commercial space. The tower—located on Plot 01-10-04 will span 28 serviceable office floors and include modern retail and leisure facilities aimed at positioning Port City as a competitive business hub in South Asia.
The land on which the tower will rise is part of the reclaimed 269-hectare landscape constructed by CHEC Port City Colombo. The memorandum of understanding was signed by Sharhan Musheen, Chairman of Canary Wharf Holdings Pte Ltd, and Xiong Hongfeng, Managing Director of CHEC Port City Colombo.
While these details form the foundation of the project, the broader context is far more significant: Port City has seen heightened investor engagement and land negotiation activity in the first ten months of this year, signalling renewed foreign interest in Sri Lanka’s post-crisis economic trajectory.
Several parcels within the Financial District and International Island have been under active discussion, with developers looking at opportunities in hospitality, logistics, financial services, and offshore professional services.
Economic analysts point out that this resurgence reflects a shift in investor sentiment following macroeconomic stabilisation, improved foreign reserve levels, and ongoing structural reforms. Port City, designated as a Special Economic Zone with its own regulatory framework, has become a focal point of Sri Lanka’s medium-term growth strategy.
The Canary Wharf-led tower is therefore not just another real-estate project; it is viewed as a bellwether for Port City’s ability to attract sustained, high-value investment. If completed as scheduled—construction is expected to begin in May 2026 with completion slated for June 2029the tower will be among the first large-scale office complexes to become operational in the enclave.
The anticipated spillover benefits include increased employment in construction and professional services, higher demand for business-support industries, and strengthened investor confidence—an essential element for a country seeking to position itself as a regional financial and logistics hub.
For Sri Lanka, which remains under IMF oversight and is pushing hard for export diversification and investment inflows, the momentum in Port City offers a rare but meaningful economic opening. As one senior official privately noted, “Every project that breaks ground in Port City echoes beyond the site it helps reset the country’s investment narrative.”
With more development proposals expected to move to execution in 2026, the Colombo Gateway Tower One may mark the start of Port City’s long-awaited transition from reclaimed land to functioning economic zone, carrying with it significant implications for the national economy in the years ahead.
