3 months ago
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Proven Properties Limited, a subsidiary of Proven Group Limited, announced that it paid US$6.5 million to acquire half of the ownership in a company that owns a five-storey building called ‘One Barbados Place’.
Barbados-based Caribbean Consultants Limited (CCL), a real estate developer, will continue to hold the remaining 50 per cent, said Aisha Campbell, CEO of Proven Properties.
“The holding company is actually One Warrens Limited, which will be owned 50:50 by CCL and Proven Properties Barbados Limited,” she said on Friday.
Proven Group, a Jamaican-owned company, which operates in the region, will use the partnership to develop other projects in Barbados.
“We are actively exploring future opportunities in Barbados across the commercial, warehousing, and residential sectors,” said Campbell.
Proven Properties has developments in Jamaica and the Cayman Islands.
Its parent, Proven Group, already has a presence in Barbados via majority ownership of Roberts Manufacturing Company.
Real estate returns in Jamaica and Barbados are similar, at least from the perspective of the appreciation in property prices at around 8.0 per cent, said Campbell. The savings come in the form of debt financing, she added.
“The cost of debt is 3.5 to 4.0 per cent in Barbados,” said Campbell. “And definitely double digits in Jamaica.”
The joint venture involves a total investment of BDS$13 million, or US$6.5 million, financed through BDS$9.1 million in debt from Republic Bank Barbados Limited, Proven said in a joint statement.
The One Barbados Place is located in the commercial hub of Warrens, St Michael. The office building spans five storeys and sits on a 1.15-acre lot. Tenants include Republic Bank, Barbados on the ground floor and the Government of Barbados, Ministry of Tourism, and Barbados Tourism Marketing Inc on the upper floors.
Director of Caribbean Consultants James Edgehill said in the joint statement that he expects the partnership with Proven Properties to unlock new opportunities for future ventures.
Proven Properties, which is a developer of residential and commercial real estate, manages 140,000 square feet of commercial space and over 40 acres of prime development land.
The wider Proven Group operates an investment holding firm with total assets of US$1.1 billion.
English (US) ·