Mediterranean Film Studios Still in Hot Water

    Deep Water Marine Tank at Mediterranean Film Studios Deep Water Marine Tank at Mediterranean Film Studios www.mfsstudios.com

    A Malta court has postponed a decision over the fate of Mediterranean Film Studios which faces eviction over past-due rent.

    According to Malta Today, the company owes 803,000 EUR for 12 years of rent. The owner of the company, Jost Merten, claimed that the government’s Lands Department has been refusing to accept payments since 2005. The Lands Department had the right to evict Mediterranean Film Studios after just two years of non-payment.

    Merten also said that the studio, which is home to Malta’s water tanks, was burdened with debt dating back to the previous management. With interest, the amount of rent owed has grown to 1.5 m EUR.

    Although Merten said he has investors who are interested in the studio, the management is restricted from selling the company under its contract.

    There is also internal conflict regarding the government’s intentions for the area used by the studio. Although Malta has been intent on nurturing its growing film industry, the case put forward by the Lands Department states that the studio is unlikely to be able to afford to pay its debts and therefore the land could be put to better use as an income generator for the government.