Construction of Sethsiripaya Phase III resumes after economic halt

August 28, 2026 at 1:53 PM

Construction of the third phase of the Sethsiripaya office complex, which had been halted midway due to the economic crisis, has resumed under the guidance of the Ministry of Transport, Highways and Urban Development.

The recommencement ceremony was held today (28) under the leadership of Minister of Transport, Highways and Urban Development Bimal Rathnayake, with the participation of Deputy Minister of Urban Development Eranga Gunasekara.

The project, first launched in 2019, was suspended during multiple crises but is now back on track. Sethsiripaya Phase III will comprise 25 floors with a total floor area of 1,395,439 square feet. 

Construction, estimated at Rs. 33.02 billion, is being carried out in partnership with the Urban Development Authority, the Ministry of Power, the Department of Inland Revenue and the State Pharmaceutical Corporation. 

The complex is designed to provide modern office facilities, conference halls, public service centres, commercial spaces and parking facilities, enabling improved delivery of services to state and semi‑state institutions.

Authorities plan to complete the project within thirty months, with emphasis on enhancing administrative efficiency, modernizing public service and contributing to national economic growth. 

The development also forms part of the government’s programme to relocate offices from Colombo Fort and other parts of the city to Battaramulla. 

Many state institutions have already been shifted to the area, as administrative services are gradually relocated to the Sri Jayewardenepura zone in Battaramulla, with the aim of transforming Colombo into a commercial hub. (Newswire