The Tribune

By NEIL HARTNELL

Tribune Business Editor

nhartnell@tribunemedia.net

The Government has made no decision on possible changes to key policies, with the Bahamas Real Estate Association’s (BREA) president saying yesterday: “We’re all singing from the same hymn book.”

Speaking after he and BREA’s Board met with Prime Minister Perry Christie, Franon Wilson said the Government’s approach was no different to that of a business owner assessing where his company could improve.

Mr Wilson told Tribune Business he was now writing a letter to the Prime Minister setting out the majority view of BREA members on questions the Government had posed, which implied it was mulling changes to key policies.

Disclosing that BREA was set to form a Working Group to address the Government’s concerns, Mr Wilson said it would “go beyond” the issues raised by the Prime Minister.

Tribune Business previously reported the Government’s concerns that foreign buyers are driving up prices and thus squeezing Bahamians out of the market, denying them access to affordable property.

Based on a questionnaire sent out to BREA members, the Government seems to be assessing whether to increase the minimum $500,000 investment threshold for economic permanent residency, and if it should give foreign buyers a deadline by which they have to develop vacant land purchases.

And, showing the crux of the Government’s concerns, the questionnaire’s key question is: “What formula or policy could the Government consider or create to ensure that Bahamian ownership of land on each of the communities in the Bahamas is maintained and/or preserved at levels sufficient to protect the interest of the Bahamian people in light of present and future foreign direct investments and or developments?”

Responding to the concerns some BREA members had raised in response to this, Mr Wilson emphasised that the Government had reached no final decision on moving forward with any of these potential amendments.

“Right now, the Government has advised they are reviewing and considering. That’s all they’re doing,” he told Tribune Business.

“They’ve not come to a conclusion one way or another on moving forward in any direction.”

And he added of the Christie administration’s approach: “It’s no different from a businessman sitting down and saying: ‘How can we do better?’ How can we be more efficient and effective? How can I do more for my employees? How can I build stability and growth? How will the business look in five to 10 years’ time?”

Describing yesterday’s meeting with the Prime Minister, Mr Wilson said: “It went better than expected.”

BREA’s Board and past presidents gave an oral communication on the ‘majority views’ of its membership, while Mr Christie “asked BREA to consider things from the perspective of what the country is faced with, and will be faced with”.

The Prime Minister also asked the Association to subsequently meet with him, and minister of state for investments, Khaalis Rolle, “about the different things BREA thinks can help ensure Bahamians can own homes at affordable prices, while at the same time continuing to uplift and strengthen the market”.

This speaks to the Government’s seeming desire to strike the ‘right balance’ between Bahamian access to affordable real estate, without disrupting foreign direct investment (FDI) and the second home market.

Describing the Government’s desire to consult BREA as “refreshing”, Mr Wilson added: “We’ll do our level best to ensure we add everything we can to Government’s train of thought.

“They yesterday gave Board members an insight into what the realities are of the country today; social realities, and the implications if prices get so far out there that people feel they will never be able to own their own home or piece of property.”

As for the recommendations that BREA and its working group will try to develop, Mr Wilson said: “These are things to assist in all of us reaching our goals for a better Bahamas, and children aged five-six years-old now being able to buy a home when they grow up and not have to earn a six-figure salary.

“We’re all singing out of the same hymn book. The Board members and past presidents are excited about the opportunities for the Working Group.”