Gouder ends up with 10% cut on Labour’s Rialto investment

Former Labour TV reporter turned lawyer, and businessman Charlon Gouder has secured a 10% share in a private construction company that plans to invest millions in transforming the Labour Party’s Rialto Theatre building in Bormla into a new entertainment venue, which includes a controversial rooftop wedding hall.

Rialto Operation Ltd, a private company owned by the large contractors GP Borg Group, was selected by the Labour Party as its partner to refurbish the Rialto Theatre, which dates back to the 1950s. The project aims to create an entertainment complex featuring a large theatre, restaurants, a boutique hotel, and a rooftop events venue primarily catering to weddings and large gatherings.

Conrad Borg, the owner of GP Borg, and his family hold 90% of the shares in this investment company. Gouder, who has acted as a liaison with senior Labour officials, seems to have received his 10% share as compensation for facilitating discussions between GP Borg and the Labour Party, sources told The Shift.

He also acts as one of the construction company’s lawyers.

While the Labour Party has neglected the historic Art Deco building over the years, it will still retain ownership of the property. Instead, it will lease the building to private investors long-term, allowing them to carry out the necessary renovations while repurposing the large venue for business use.

Labour sources indicate that Gouder will not be making any financial investment in the project but will benefit from 10% of the profits once the venture becomes profitable. Insiders within the Labour Party commented that although the Party issued a commercialisation offer for Rialto through a tender process, Gouder worked to steer it towards his clients.

“Gouder has made the best deal out of this Labour property. He loves the Party,” a Labour official involved in the process remarked sarcastically.

The Planning Authority is expected to approve the Rialto refurbishment this week despite receiving hundreds of objections – primarily from residents concerned about issues such as noise pollution, increased parking problems, and the impact of converting the theatre’s roof into a multi-purpose events venue.

The refurbishment plans also propose raising the building’s height with a new roof structure that will be one storey higher than the existing one. Although the Superintendence for Cultural Heritage noted that this increase in height could adversely affect the area, especially the views of the nearby Bormla church, it did not raise any objections, deeming the proposal acceptable.