New condo development for Reading
Investors Haresh Shivnani and Haresh Daswani of H & H Ventures Limited are putting US$5.7 million ($775 million) into the development of a two-acre property at Reading, on the outskirts of Montego Bay.
The project is financed by JN Bank.
Daswani told the Financial Gleaner that land was acquired in mid 2015 and that construction began this year on the development, comprising three penthouse suites, 12 condos and six garden suites. The project is to be completed by midyear 2019.
With starting prices of US$180,000 for studio units and penthouses priced at US $650,000, Krystal Chung of Coldwell Banker, the company responsible for marketing the property, says that buyers are likely to be investors interested targeting a tourist market. The town houses are priced at US$350,000.
JN Group's Chief Development Financing Officer, Earl Samuels, declined to disclose the size of the loan to the developers, even while indicating that the group saw promise of future business on the north coast amid rising demand for homes along the stretch.
"We have seen an increase in demand for gated luxury units in resort areas, mainly along the north coast and Negril, which borders Hanover and Westmoreland. The purchasers of these units are both local and overseas buyers, who use the properties for personal residence and for investment purposes," Samuels said.
"We have provided about $2.5 billion in loans for developments in the resort sector, with other requests for financing being finalised," he added.