The purchase by a foreigner of land is prohibited 2 years ago. Now you can take the land for rent for up to 99 years with a state tax of 15% of the real value.

Until 2013, foreigners could buy land in Sri Lanka, but the land tax for such a purchase was 100% of the value of the property. This tax on land was related to both the purchase of houses and apartments. And even in 2011 it was planned to note such a high tax rate. However, in 2013, the authorities of Sri Lanka introduced a complete ban on the purchase of real estate by foreigners. Now the site or apartment can be taken for long-term lease - leasing. And rental of real estate for a period of at least 99 years is allowed.

With regard to the acquisition (or rather, even rent) of real estate for commercial activities (in this case, for the construction of a hotel), then such a transaction is risky enough. There are cases when the government of the country nationalized large plots of land regardless of its ownership - and foreigners in this case were the injured party.