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Japanese group being eyed to save La Fiesta mall
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Posted on Sep 19 2004
House Speaker Benigno Fitial is arranging a meeting with a Japanese educational institution to help the CNMI government work out a possible agreement that would sublease the La Fiesta Mall.
House leadership spokesman Charles Reyes Jr. said that, although the Legislature has nothing to do with the financial disaster being incurred by the government in the acquisition of La Fiesta, Fitial wants to help the Babauta administration arrest further losses.
Reyes said Fitial would invite representatives of the prospective investor to come to Saipan.
“The Speaker is working with the governor to solve this La Fiesta problem,” Reyes said. “We want to relieve the government of its burden in any way we can.”
Reports said the government had already spent at least $1.2 million in maintaining La Fiesta, besides the $3.5 million used in buying the mall and in paying off a substantial portion of the lease to the landowners.
The government will reportedly subsidize the mall’s maintenance cost by about $30,000 monthly, with La Fiesta’s transfer of control from the Northern Marianas College to the Executive Department.
The acquisition of La Fiesta caused the NMC financial losses. This aroused concerns by the Western Association of Schools and Colleges, which had earlier placed the college’s accreditation under warning status. (John Ravelo)
