The Tribune

By NEIL HARTNELL

Tribune Business Editor

nhartnell@tribunemedia.net

The Government is planning to invest $30m in developing a new 147-home affordable housing subdivision called Premier Estates 1 in New Providence’s Perpall Tract district, it has been revealed.

A just-released Environmental Impact Assessment (EIA) for the proposed subdivision, which is part of the Government’s wider drive to narrow The Bahamas’ estimated “12,000 unit” strong housing shortage, asserts that the project will provide continuous employment for “up to 100 Bahamian construction workers” over a two to three-year period.

Premier Estates, according to the report by the Russell Craig & Associates environmental consultancy, will be located on a 30-acre site accessible via Ferguson Road, and be bordered on its northern and southern boundaries by the Bahamas Telecommunications Company’s (BTC) corporate headquarters and offices, and New Providence’s second hospital, respectively.

However, the subdivision’s proximity to the planned “specialist” hospital, combined with its location in Perpall Tract, is likely to spark the same concerns about flooding and storm surge vulnerability that greeted the Government’s healthcare expansion plans. The EIA itself acknowledges the need to implement a storm water management plan for drainage control, with deep wells and “preferably” the creation of retention ponds.

Keith Bell, minister of housing and urban renewal, could not be reached for comment before press time last night despite calls and text messages, as well as e-mails, being sent by Tribune Business. A public consultation and hearing on the Premier Estates project, as part of the process for obtaining its certificate of environmental clearance (CEC) approval, will be held on February 10, 2026, at the Albury Sayles Primary School at 6pm.

“The Ministry of Housing and Urban Renewal proposes to develop a subdivision, and build 147 affordable residential houses on 30 acres of government lands (Perpall Tract) vested in the Department of Housing situated in the Chippingham area,” the EIA asserted.

“The project construction timeline for Premier Estates I is anticipated to be some two years with a total projected investment of some $30m. This level of investment will have a far-reaching, long-term beneficial impact on the economy of New Providence in new construction jobs.

“This is particularly significant given the high demand for affordable homes will have a multiplier effect on the housing market in reducing the demand on New Providence.” However, while addressing the shortage of affordable housing impacting hundreds of Bahamian families and the economic benefits are policy priorities, the EIA acknowledged there are “some major issues” surrounding the subdivision’s environmental impact.

“The Premier Estates I project site, situated in the Chippingham area, offers an excellent opportunity for sustainable development of a residential housing investment. The project, with its investment of some $30m, is expected to generate much-needed economic stimulus for New Providence -construction jobs, and much-needed affordable housing for Bahamians - but has some major issues regarding its environmental impact,” the EIA warned.

“Employment of best management practices, having regard to national environmental legislation and international conventions and standards, will ensure the project is developed and becomes operational in a sustainable manner. Utilising the mitigation measures will guarantee that any negative impacts identified are reduced/or are mitigated and are sustained.”

The 147 units are to be built on 5,000 square lots, measuring 50 feet by 100 feet, in one single phase. Two home model options will be offered to potential purchasers, with the subdivision located in the north-east section of Perpall Tract. The EIA, though, noted that the site has a lower elevation and is less than 10 feet above mean sea level (MSL) while also in close proximity to the former Water & Sewerage Corporation wellfields.

And the report reveals that the Premier Estates location was originally zoned as ‘green space’ before the Department of Physical Planning re-zoned it to residential. And it conceded that “historically, flooding was and shall continue to be a concern toward the north” in the Perpall Tract area, with the location viewed as “a potential flood hazard” for the portion that has a low elevation.

As a result, the EIA referenced previous reports which argued “that, wherever possible, the placement of critical infrastructure be located” at least 10 feet above mean sea level. And a hydrological assessment of the site by Adarie Engineering and Environmental Services (AEES), said: “Present concerns exist regarding the proposed plan to construct a new hospital facility in the south- western quadrant, utilising 50-acres of the Perpall's Tract wellfield area.

“Environmental advocates have claimed that this plan would destroy the existing ecosystem, including the forest and the plants within it…. The proposed subdivision should expect similar concerns of ecosystem, biodiversity, flood mitigation, water resources. Wide public consultation is encouraged, particularly with those special interest groups who were the drivers behind the protection process of the Perpall Tract wellfield area.”

The EIA also conceded that protected species and biodiversity currently inhabiting the site will be significantly impacted because 80 percent of the location “will be subject to land clearance for infrastructure and home development. Eighty percent of existing vegetation will be lost during construction works”.

Still, the report concluded that - provided the necessary mitigation measures were implemented - the subdivision’s development will be an asset for The Bahamas in its bid to tackle the chronic shortage of affordable, available housing for New Providence residents. A wastewater treatment plant will also be constructed as part of infrastructure that will provide Premier Estates 1 with its own central sewerage disposal system.

Confirming that the development is being funded by Bahamian taxpayers, the EIA said: “The residential developments will represent a further investment in The Bahamas of more than $30m by the Ministry of Housing and Urban Renewal, and will further contribute to the economic vibrancy of New Providence.

“New construction jobs for semi and skilled labourers in the construction industry are a prime benefit of the project. This brings more revenue to families, and hence economic stimulation, in addition to new first-time affordable home ownership for Bahamian families…

“The overall economic impact in the Chippingham area and, by extension, New Providence will be significantly positive and will contribute to a positive turn around in the first-time home ownership market for Bahamians.”

However, given the size of the 12,000-unit housing shortage, or ‘gap’, identified by Mr Bell it is likely that Premier Estates 1 will only make a dent in Bahamian demand for affordable homes. A 1984 housing study, released as part of consultations on the Government’s land reforms, forecast that to meet population expansion and housing demand The Bahamas would have to construct 1,965 residential units per year in the six years to 1990.

“We know that the last big report has not been updated for the last two or three decades,” Mr Bell said in late 2024. “Again, the study back then indicated we should be building around 2,800 homes per year, and so far we are 12,000-plus short in terms of housing units. Each year has added, and in some years we didn’t build homes, so we have our work cut out for us.”

And, late last year, the minister added: “For decades, every serious assessment has concluded that The Bahamas has not been building enough homes to meet the needs of our people. A 1984 national study found that New Providence required more than 1,700 new homes each year.

“By 2016, the Inter-American Development Bank (IDB) in its report, “The state of social housing in six Caribbean countries’, indicated that 3,600 new homes or housing repairs would be needed annually in The Bahamas. Yet between 2012 and 2020, construction levels consistently fell short by more than 2,000 homes each year.”

Franon Wilson, Arawak Homes’ president, yesterday told Tribune Business that the Government will “not directly” be able to make-up the 12,000-unit shortfall by constructing more homes by itself. While it “can influence it a lot” via its policy choices, he hinted that the Government needs to partner with the private sector - the likes of banks and other lenders, developers and contractors - to develop a comprehensive housing approach.

“It’s a significant gap in what’s needed,” Mr Wilson said of the 12,000 homes shortage. “It is something we have to continue to work at. It will take a lot. Owning a home is truly a team effort. You need the financing and so many different things, and everything has to go 100 percent right for someone to own a home.”

Home buyers also have their part to play by building up sufficient savings, so that they can qualify for a mortgage and afford to cover closing costs such as taxes, attorney and realtor fees, while not over-borrowing on consumer debt.

Meanwhile, the Premier Estates EIA concluded: “With a projected capital investment of $30m it is anticipated that the economic impact for the Chippingham area and, by extension, New Providence, will be boosted significantly. This boost will include new construction jobs, new affordable home ownership for low to medium income persons, new entrepreneurial opportunities to provide goods and services.

“The long-term economic effect will be a positive impact for the local economy. From an environmental perspective, mitigation measures if adhered to will greatly reduce the negative impacts identified.

“It is anticipated that with proper planning, application of best management practices and mitigation measures outlined in the EIA, incorporated within a comprehensive Environmental Management Plan (EMP), if conscientiously implemented, will minimise in the long-term any negative impacts identified from project development through to home occupation.”