The previous government had signed the agreement to grant a land of 20 hectares to the C.H.E.C. Port City (Pvt) Ltd on free hold base and the rest is on a 99-year lease basis. But, according to the consultations of the new government, no land will be granted on free hold basis, but on a 99-year lease basis. If the government does not require this 20 hectares, the company may obtain the land for another 99 years.

Due to the goodwill created by the visits of President Maithripala Sirisenaand Prime Minister RanilWickremesinghe to China, the project company has agreed to withdraw all compensation claims for losses incurred due to the suspension of the project caused by the failure of the previous administration of the SLPA to obtain the required environmental permits.

In the original Master Plan there was provision for night racing and at present, this plan has been fully abandoned. Accordingly, out of this land extent, 2 hectares will be allocated to the company, without reducing the land extent of 62 hectares owned by the Government of Sri Lanka. This will be a gesture to reciprocate their goodwill of completely waiving off all compensation claims.

Accordingly, a new trilateral agreement will be signed among the Ministry of Megapolis and Western Development (on behalf of the government), UDA and the project company immediately.