HAJ projects $61m profit by end of 2016/17 financial year
KINGSTON, Jamaica — The Housing Agency of Jamaica Limited (HAJ) today reported that it has returned to profitability, based on a projected $61 million profit by the end of the financial year 2016/2017.
The announcement was made this morning by Chairman of the HAJ Board, Norman Brown, during a press conference.
The HAJ made a turn-around in its financial status after an accumulated loss of $886 million at the end of March 2016.
“We have been able to turn around the agency, reducing our debt and restoring financial stability to the company. As a Board, we came into office understanding that our job was to do just that in returning HAJ to financial viability,” said Brown.
The achievements resulted from a number of initiatives spearheaded by the board, including installing a new management team made up of mostly internal team leaders and reducing the agency’s National Housing Trust (NHT) obligations from $3.05 billion to $2.73 billion, HAJ said in a release.
Brown further noted that, “The HAJ is not a charge on the public purse; we are a self-financing agency mandated to bring our operational expenses in line with our income. Our main obligations are to develop and sell land and housing solutions for low to middle-income earners while upgrading squatter settlements across the island through land titling programmes.”
HAJ said its projected profit margin is expected to be realised largely from the sales of houses in The Vistas at Runaway Bay (Savannah cluster) development in St Ann.
This development features 80 two-bedroom units starting at $13 million. This cluster of homes is the first of 250 houses to be delivered in this development.
HAJ is an agency of the Ministry of Economic Growth & Job Creation and is mandated as one of the key entities through which the local housing stock demand will be fulfilled.