3 months ago
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Barita Investments Limited outlined additional details about its real estate developments, including plans to build a warehouse and a multifunctional complex.
The company said it completed significant pre-development work, scoping the nature of projects, forging partnerships, and recruiting key talent.
“We anticipate moving forward with at least two developments in the next 18 to 24 months. The first is a light-warehousing project, and the second is a mixed-use opportunity,” said CEO Ramon Small-Ferguson at the company’s annual general meeting on Friday.
Small-Ferguson’s presentation indicated that the mixed-use development will integrate commercial and residential spaces.
The locations of the developments were not stated.
Barita holds its real estate assets through affiliate MJR Real Estate Holdings Limited. Last year, the company postponed some real estate developments due to softness in parts of the residential market. Then in February, Barita signalled that development activity would begin this financial year but did not provide specifics.
At the AGM, Small-Ferguson said Barita had now reached the stage of monetising its assets through a structured schedule. The group previously expected to begin earning from its real estate developments in 2027.
Beyond commercial, residential, and light industrial projects, Barita owns land suitable for partnerships with hotel developers. Its portfolio includes Reggae Beach (286 acres), Green Castle (1,600 acres), Eden Gardens (two acres), the former Kingston Ice Factory (three acres) and Windsor Estates (100 acres).
Barita’s parent company, Cornerstone, plans to build its headquarters on the Eden Gardens property at Lady Musgrave Road in New Kingston.
The real estate sector, spanning sales, rentals, and realtor services, declined by 2.8 per cent in 2024, following 0.8 per cent growth in 2023. Developers completed 1,300 houses, 11 percent fewer than in 2023, while mortgage financing dropped 22 per cent to $55.2 billion, according to the Planning Institute of Jamaica.
Barita Investments Limited posted a December first-quarter profit of $551 million, marking a 15 per cent increase year-over-year.
Net interest income rose 15 per cent to $169 million. Non-interest income climbed 8.0 per cent to $905 million, driven by investment gains, particularly in fixed-income securities. However, the gains were partially offset by foreign exchange trading and translation losses of $185.4 million in the December first quarter.
Barita’s capital dipped to $35.5 billion in December 2024 from $36.7 billion a year earlier. Its capital adequacy ratio at some 24.6 percent of total assets valued at $139.6 billion remains above the 10 percent regulatory minimum. The company maintains a cautiously optimistic outlook amid a quarterly US economic decline and changes in US trade tariff policy.
English (US) ·