May 2017 Financial News

Sagicor X Fund buys more north coast land for development

May 10, 2017

Sagicor Real Estate X Fund Ltd (the X Fund), a subsidiary within the Sagicor Group, disclosed this week that it has bought more land on the north coast for development. With $44.4 billion in assets, the real estate fund is one of the largest investors in the Jamaican commercial and tourism real estate market.

Other new projects include a hotel and a commercial mall in the centre of the island, which are both at advanced stages of upgrade and close to opening.

Through its Sigma Real Estate portfolio, the group said it bought lands in Cardiff Hall, Runaway Bay in October 2016 for US$600,000; and lands in Palm Beach, St Ann, in the same month at a purchase price of US$500,000.

It also completed the acquisition of 126 units at the Jewel Grande in October 2016, which increased the Group's overall investment in the condominium resort development.

The Fund, which now owns five hotels, is also interested in attractions development, as stated in the annual report released this week.

The group is also now marketing space in its Millennium Mall — a May Pen development which is a 21-acre property with 120,000 square feet of commercial space.

Located on the southern side of the May Pen bypass opposite the Mineral Heights housing development, Millennium Mall offers units ranging from 400-30,000 sq ft.

In the Management discussion in the annual report, it was said that the Fund's main strategic focus over the medium to long term will be on tourism, inclusive of hotels and attractions across the North American and Caribbean region; commercial real estate, specifically business processing outsourcing; and industrial warehousing.

The group is now owner of the Hilton Rose Hall Beach Resort & Spa in Montego Bay, the Double Tree by Hilton at the Entrance to Universal Orlando in Orlando, Florida, and has a stake in the former Palmyra Resort & Spa, renamed Jewel Grande Montego Bay.

These are owned through wholly owned subsidiary companies — X Fund Properties Ltd and X Fund Properties LLC.

Its latest acquisition, the Jewel Grande, is situated on a 16- acre property in Rose Hall, St James. The report said it will offer “personal butler service, an Italian villa-inspired spa sanctuary boasting a Himalayan salt halotherapy lounge, two sparkling oceanfront swimming pools, and 299 accommodations from junior suites and villas to extravagant penthouses among the resort's three towers.

The resort intends to feature more than seven culinary options, including private chef table demonstrations in-room and oceanside beach dining.”

The report added, “The family-friendly resort also intends to provide experiential children's programming, more than 25,000 square feet of window-filled meeting rooms, extravagant ballrooms, and expansive grand terraces for distinctive outdoor functions…Travellers will be treated to immersive programming such as patois classes, locally infused Jamaican cuisine, and a full-service wellness oasis conceptualised by Reggaelates founder and award-winning wellness guru, Sienna Creasy.

At the end of 2016, the X Fund's assets totalled $44.4 billion, representing an increase of 31 per cent over total assets at the end of 2015 ($33.9 billion).

Source:
BY AVIA COLLINDER
Jamaica Observer
Wednesday May 10, 2017

http://www.jamaicaobserver.com/business-observer/sagicor-x_98351?profile=1056