By McPherse Thompson, Assistant News Editor
Commercial spaces in the Island Life Centre in New Kingston that are being rented, are to be used as shops ranging between 800 and 1,500 square feet; office space vary between 2,500 and 5,000 square feet. - File - File
ENTREPRENEURS HAVE been lining up to secure spaces at what used to be the Island Life Centre in the business district of New Kingston since Dennis Joslin Jamaica announced vacancies in the prime commercial office building just over a week ago.
With a price tag of $350 per square-foot, occupiers are expected to pay between $320,000 and $1.8 million annually in rent, but, according to Janet Farrow, managing director of Dennis Joslin Jamaica, there have been "a lot of expressions of interest" in the property.
Dennis Joslin Jamaica, the bad debt collection agency which has control of the building, has been marketing the property as "one of Kingston's most prestigious," saying that the rental rates were "remarkably reasonable."
The building, which housed Island Life Insurance Company and several other businesses, now has space ranging from 800 to 20,000 square feet for retail outlets, fast food providers, professional and commercial offices, according to Dennis Joslin Jamaica.
Island Life has not yet fully vacated the building, but is to do so as part of the merger with Life of Jamaica (LoJ), which is housed at Barbados Avenue, New Kingston. Both insurance companies are owned by the Barbados Mutual Life Assurance Society.
Commercial spaces in the Island Life Centre that are being rented are to be used as shops ranging between 800 and 1,500 square feet, while office space vary between 2,500 and 5,000 square feet, Ms. Farrow said.
The Island Life Centre was transferred to Jamaica Redevelopment Foundation, a subsidiary of Beal Bank, as part of an agreement with the Jamaican Government when the Texas, United States bank acquired the non-performing loan portfolio of the Financial Sector Adjustment Company (FINSAC) in January 2002.
Dennis Joslin Jamaica, a service provider under the agreement, was asked to undertake collection of the loans and therefore to administer the affairs at the Island Life Centre as per the agreement.
The agreement had called for FINSAC to transfer to the Jamaica Redevelopment Foundation the Island Life Centre at an imputed value of US$7.5 million.
Terms of that agreement was that Beal Bank would dispose of the real estate within three years and pay FINSAC 30 per cent of the net proceeds. The parties also agreed that until the building is sold, FINSAC will receive 30 per cent of any net rental income generated. In addition, if at the end of that period the building is not sold, the parties will agree on a market value for the property through the use of independent valuators. FINSAC will then be paid 30 per cent of the determined market value within 14 days after the value has been established.
