MTDC refutes reports of plan to sell Magudhuvaa

Aug 4, 2026, 8:27 AM
Maguhdhuvaa in Gaafu Dhaalu Atoll, where Ayada Maldives is operated: This island was developed by a Turkish company. --- Photo: Ayada Maldives

Maguhdhuvaa in Gaafu Dhaalu Atoll, where Ayada Maldives is operated: This island was developed by a Turkish company. --- Photo: Ayada Maldives

The Maldives Tourism Development Corporation (MTDC) has clarified that it does not plan on selling any of the islands currently under its portfolio for resort development.

In a statement, MTDC denied recent media reports, including those by Adhadhu, suggesting that the company was preparing to sell the head lease of Gaafu Dhaalu Magudhuvaa.

MTDC emphasized that it has not made any decision to sell the head leases of the three islands currently leased to the corporation: Magudhuvaa, Haa Dhaalu Naagoashi, and Baa Kihavah Huravalhi. The company further assured that no discussions regarding such a sale are currently underway.

MTDC stated that it remains committed to disclosing all necessary information in accordance with laws, regulations, and listing rules. The statement also urged the public to rely solely on official communications from the company regarding its projects and transactions.

Magudhuvaa was leased to MTDC in 2006 for a 25-year period. The corporation sub-leased the island to the Turkish firm, Ahmet Aydeniz.

Aydeniz developed the island into a five-star resort, which began operations in 2011 under the brand "Ayada Maldives."

Under the sub-lease agreement signed between MTDC and Aydeniz, the sub-lease rent followed an incremental structure, eventually reaching USD 1.2 million per quarter.

The sub-lease agreement is scheduled to expire in 2031, coinciding with the expiration of the head lease. However, the Turkish company operating the resort reportedly sought to have the head lease transferred to its name prior to that date.

In its report regarding the potential sale of the Magudhuvaa head lease, Adhadhu had noted that MTDC’s management was opposed to the move and had maintained that the island's head lease would not be sold.

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