Sliema hostel plan resubmitted after court revoked hotel

A developer has submitted a planning application for an 11-storey hostel on Parisio Street in Sliema, months after a court struck down his earlier permit for a hotel on the same site. Michael Stivala's proposal includes 136 rooms and 277 beds, three basement levels, a language school, a conference hall, breakfast room, spa, gym and rooftop pool.

The Malta Tourism Authority issued a Tourism Compliance Certificate on 17 February 2025. Stivala previously held a permit for an 11-storey hotel with 136 rooms on the plot. The Environment and Planning Review Tribunal partially upheld objectors' complaints and directed the Planning Authority to reconsider it as a hostel.

The Court of Appeal overturned that decision in December 2024, ruling the tribunal exceeded its powers and revoked the permit entirely. The distinction between hotel and hostel matters under the North Harbours Local Plan, which prohibits hotels in residential areas but permits hostels and guest houses subject to planning and environmental policies. More than 300 objections have been filed against the new application.

Objectors argue the hostel is effectively the same project: the building's scale, massing and amenities – including a spa, rooftop pool and conference facilities – are unchanged from the revoked hotel scheme. Villa Bonici, a nearby scheduled heritage site, is among those that objected. New national regulations cap hostels in residential areas at 40 beds.

The Malta Tourism Authority certificate, issued in February 2025 before those regulations came into force, covers 277 beds and remains valid. Stivala said the application is "substantially different" from the annulled one and was designed to address issues raised in those proceedings. He added it was prepared in line with Malta Tourism Authority requirements, Planning Authority policies, fire safety requirements and the requirements of the Superintendence of Cultural Heritage.

The Planning Authority is yet to decide on the application.