Bermuda gov't after property investors
HAMILTON — Government could sell off a new housing development to the private sector or rent the apartments out because of a lack of buyers willing to sign on the dotted line, the Bermuda Sun can reveal.
The Ministry of Public Works yesterday confirmed they are looking at Warwick’s Grand Atlantic development and other buildings owned by the Bermuda Housing Corporation to put empty buildings to good use.
A spokesman for Public Works Minister Michael Weeks confirmed: “As a result of the weak response to the sale of the units, the Bermuda Housing Corporation is currently considering targeted options regarding the management, sale, leasing and development of all of its assets, including the Grand Atlantic units.
“We are confident that in time the units will be put to use with minimal financial impact on the public purse.”
The spokesman added: “When a decision is made, we will update the public on the way forward.”
The news came as it was revealed earlier this month that only one of the 50-plus apartments completed at the site on South Shore Road had been sold.
Buddy Rego, head of real estate firm Rego Sotheby’s, said that – if the apartments were rented out – it could depress the already struggling sales market for condominiums even further.
Rego said: “The rental market in that area has probably suffered even more in terms of value, certainly in the past two years.
But he added: “If you are a prospective tenant, however, it’s a great opportunity. I would suspect there would be certain stipulations – that it would be considered subsidized living or it might be offered at market rates.
“If they have qualified tenants, they would be able to help out a lot of people, which is their responsibility.” (Bermuda Sun)