‘Giveaway’
Some of the middle income homes at The Villages housing project at Coverley, Christ Church.
Sun, August 29, 2010 - 11:59 PM
The Villages housing project at Coverley has been labelled by Opposition Leader Mia Mottley as the biggest sell-out in Barbados’ history.
Stating that the 103-acre Christ Church property had “effectively been given away for next kin to nothing”, Mottley told a Barbados Labour Party political meeting at Haggatt Hall, St Michael last night that a private entity, Housing Concepts SRL, could gain over $1 billion while the National Housing Corporation (NHC) would struggle to scrape $10 million from the project.
Quoting from a document described as a draft agreement, she said the agreement between the NHC and Caribbean Homes and Housing Concepts SRL had been signed within the last six months; and asked Minister of Housing and Lands Michael Lashley whether Housing Concepts was granted power of attorney from the NHC to provide everything on the project, including conveyancing, engineering, building and surveying.
She also asked the Minister whether it was true that:
• Housing Concepts was given permission to mortgage NHC’s land at the outset in order to raise the money to finance the start of the development,
• the NHC would set the prices for the houses,
• Housing Concepts would receive $1 200 per year (and rising) from each homeowner to keep the development clean and to operate the sewage project which is equivalent to a minimum of $1.23 million a year when all the lots are sold, and
• on top of the already generous terms, Housing Concepts would pay no transfer tax or stamp duty, as NHC would be conveying the lots directly to the purchasers – thereby saving Housing Concepts from paying a minimum of $7 million in stamp duty and Property Transfer Tax to the Government.
Mottley also asked whether the NHC would be paid only $3 per square foot for each lot sold less a proportional part of any expenses incurred by NHC on the sale, and one per cent of the purchase price on any house sold less any money it received from the sale of the land.
Purchase price
She pointed out that, given the average cost of the houses at Coverley, the one per cent of the purchase price of the houses was less than the amount that would be received on the sale of the land.
Hence, she added, the NHC was only likely to get the $3 per square foot less the expenses incurred on sale, probably legal, real estate and marketing.
Mottley also said that when the rent from the commercial buildings was included with what Housing Concepts would gain from the sale of the houses and the maintenance, the transaction could be worth over $1 billion to Housing Concepts.
“In contrast, NHC would struggle to only make $10 million,” she told the meeting.
(RJ)
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Mr. Adriel Brathwaite, if I’m still living here next election, you’ll explain this to me.That’s if this is true. You’ll explain the rationale behind this, versus the raising of the liquor license for one, thus forcing small shopkeepers to give up their only source of lively hood. I will assume that in a few days, the Nation news will do some research to verify the validity of these statements and then run their piece. I’m holding my breath.
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Comment LinkSo each time I attempt to read a news item coming from the political arena, will it be about “HOUSING”? Is that all the BLP can find to talk about because Rice-Bowen was fired and they think they have something to run with because they think that some betrayal has occurred in the DLP camp?
I think Barbadians deserve better than this. What happen to the bigger issues that will bring this country successfully out of the worldwide recession, have these been placed on the back burner for things that no one seems interested in?
Truthfully I’m not hearing the public bashing the current government in matters of housing and that’s because quite a few of them got housing solutions from the current Administration.
Come on Mia find something more meaningful to debate and lick the government for, something that is impacting negatively on the wider public.
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Comment LinkIf this picture in the article represents the properties being sold,it is not very appealing. These houses look more like army barracks than a place to house families. Even though people might be desperate for homes, that’s not an excuse to abuse the peoples sense of style and creativity. Very sad. I can see why these developers are laughing all the way to the bank, do the minimum work but reap the most profit. Rise up people of Barbados. We might be poorer, but we still have style.
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Comment Link@Hazel
Can you tell me how many Barbadians have been housed in the last few years. Don’t label me anything, I am just an ordinary bajan wanting to know, if you don’t know then we are in the same boat. What I do know is that this issue is no small issue, and if you take it on a whole then you will see the economic impact. The Minister already exposed himself as guilty and insulted the intelligence of the entire island.
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Comment LinkIt is quick and low cost housing Mia?
This attack on the DLP makes me believe Mia doesn’t want to see the average Barbadian as a home owner.
As an Opposition leader how do you oppose Barbadians seeking to better themselves through home ownership and the Gov’t assisting and facilitating that dream.
I wid “DEM”
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Comment LinkCome on my people, open your eyes and your minds..this is a Corn Beef deal….it smell sweet but wait till you bite and taste de pepper. Yes it’s good that low cost housing is being provided, but who’s really Benefiting?
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Comment LinkWhat low income housing?
You are being asked to pay approx $289,000.00 for a two-bedroom housing with 660 sq feet of living space of which the garage accounts for one-third of the space.
This house is on 2,500 sq feet of land.
You are paying $438.00 per sq ft for your house.
I built my house four years ago, 3-bedroom 2-bathroom 1,912 sq ft costing $285,000 which works out at $149.00 per sq ft of living space.
Bear in mind that your have to get a mortgage to pay for this house.
Check BPWCCU mortgage calculator to deem how much your monthly payment would be.
A mortgage for 15-years monthly amount is $2,641.00
for 20-years - $ 2,2,87.52
for 25-years - $ 2,092.65.
Now compare these mortgage payments which the average public servant or private sector salary and determine how many of them would be able to qualify for these “Low-income Houses”
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Comment Link@ Home Owner
I agree with you that this is quick housing, but it is definitely NOT low cost. The fact of the matter is that if it is quick it SHOULD be low cost… but therein lies one of the very problems of which Ms Mottley spoke. It is clear that your eyes are wide shut. How in heavens name can you accept that the government is giving away land to these folks, after increasing taxes on everything under the sun over the last two years. Open yuh eyes!
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Comment LinkI am fully aware that the provision of affordable housing is a government responsibility. At the same time I thank the Lord that I do not have to rely on one of the houses I see being offered at Coverely, Six Roads & previously at Breezy Hill, Halton.
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Comment LinkThe site says the houses are middle income, not low. http://www.villagesatcoverley.net
To disappointed - when you break it down like that, it does look like a raw deal. This is sad.
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Comment LinkI dont think that we are as lierate as we think if we have to sit and wait for someone to break down a mortgage payment on an over priced house. The reality is that this is an EXTREMELY reidiculous situation and what makes it worst is that we have a so called liberal government in power.
It clearly illustrates the fact that the poor have no voice. My next question is Why did we change the Government of the liberals have also gone to bed with the BIG BUSINESSES much to the disadvantage of the masses
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Comment Linkim glad the story of the NHC in this administration is the building of houses ... last administration is was no building of houses ... Mia give it a rest seriously ... these silly games aint gonna stick.. its kinda sad that if elections were called tomorrow the DLP would win as bad as times are.. Mia is a joke .
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Comment LinkLike Sugar Aloes said in his Song
You got the Government You Deserve
On Looking At the Picture in this edition of the nationnews,it seems to me that we are getting a modern version of the Pine Housing Area, at ridiculous prices
There should be a Judicial Inquiry Called in the dealings with this Development to see if anyone other than the builder is reaping any benefits from this,
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Comment LinkPage 1 of 1 pages