NHT – Paid $342.6M to acquire six properties deemed unsuitable for housing

Recommendation

1. In keeping with its responsibility under Section 6 of the Public Bodies Management and Accountability (PBMA) Act, the Board should take the necessary steps to enhance its due diligence process undertaken prior to investments and acquisition of land so as to maximise return on investment and ensure that all properties acquired are suitable for housing development. This due diligence should include an appraisal of all investment opportunities to determine, at a minimum, the cash flow impact and the expected rate of return on the investment.
2. The Board should also ensure that there is a robust records management system to provide evidence of the due diligence undertaken.
3. NHT’s Board should instruct management to develop an action plan for all properties that deemed unsuitable for affordable housing development.

JAMP Update

• Paradise Pen property has been classified as non-housing land and is currently being processed for sale on the open market.
• Parbucle Wharf and Alligator Pond properties are the subject of a Memorandum of Agreement between the Ministry of Industry, Commerce, Agriculture and Fisheries; SCJ Holdings Ltd and the NHT dated Jan 4, 2017. This MOA will allow for a swap with the Ministry for a Joint Venture with SCJ Co Ltd. The NHT advised that it is in the process of transferring the properties.  JAMP is in the process of procuring a copy of the MOA.
• Enfield Meadows is not being sold but transferred to the Ministry of Industry, Commerce, Agriculture and Fisheries.
• Sheckles II is currently in the planning and design stage of the development process.
• Unity Farm Advertisements for the sale of Unity Farm, St Mary were published in national newspapers 17 times between Dec 4, 2016 and Sept 10, 2017.

JAMP submitted a request for another update on August 10, 2020

ATI Responses

• Status of Divestment of Properties