Sagicor to do real estate development in Spanish Town
Sagicor Group Jamaica plans to do a real estate development in Spanish Town, St Catherine, says President and CEO Christopher Zacca.
It follows acquisition of a majority stake in start-up real estate venture Bailey-Williams Limited, last year.
“It is a major commercial and residential development that would take place on 12 acres of land on Brunswick Avenue in a key area of Spanish Town,” said Zacca at Sagicor Group's annual general meeting on Tuesday.
He said a set of developers approached Sagicor to take a stake in the project, earmarked for the property. The land value was estimated at US$5.3 million in other disclosures.
Sagicor paid US$3.45 million for its interest in Bailey-Williams Limited, which held net assets of US$4.9 million.
Through subsidiary Sagicor Life Jamaica Limited it purchased 70 per cent of the issued share capital of the start-up last November. The transaction was accounted for as an asset purchase, as Bailey-Williams was not a business at the time of the acquisition.
“At the time when we made the investment it was a special purpose vehicle set up to do the development. Since that time, we have received approvals, project management is in place, and the board has been set up,” said Zacca.
“It is now fully functioning business, and we expect over the next couple years the development will be finished. We have a lot of interest already in a lot of the development properties,” he said.