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Avia Collinder, Business Writer
Several liens on the Drax Hall property held by former creditors are being lifted after years of legal wrangling, clearing the way for more aggressive marketing of the estate, according to Andrew Salm, whose father largely owns the estate.
The hunt is currently on for buyers and investors.
Two residential projects are already under way at the property, including a condominium complex under development by New Era, called The Marina Village - a project said to be unconnected to the Salms.
Drax Hall's development ambitions have been plagued by lack of funds and indebtedness. The property held by Drax Hall Limited is owned by Richard Salm and family.
Andrew Salm, the CEO of AMBS Developments Limited, said Friday that Drax Hll is not entirely free of debt but its owners have made sufficient progress with former backers to press ahead with the execution of the master plan for the property.
"We have resolved a lot of behind-the- scenes issues," Salm said, but gave no details.
Real-estate sources with knowledge of the property say failed insurance company Dyoll at one time held two sites slated for major hotel development, which later fell into the hands of Finsac.
The various liens, imposed after loans were defaulted on, led to a problem in creating developments on the northside of the property, said the source who spoke on condition of anonymity.
AMBS is prospecting for a buyer for 30 acres slated for a resort development incorporated in the master plan, on behalf of Drax Hall, Salm told Sunday Business.
Meantime, New Era Homes 2000 Limited is constructing the Marina Village on the section of the property fronting the sea. The complex features 224 condominiums spread across seven buildings, each with 24 two-bedrooms and 8 three-bedroom units.
The condo project was originally launched two to three years ago. One block has been completed, the developer said.
A 'slow seller'
Real-estate sources describe the Marina Village as a "slow seller".
Lenworth Burke, Legal Counsel for New Era Homes, said Thursday that the company's owner was investing US$100 million (J$9.9 billion) in Marina Village. New Era is owned by Leo Taddeo.
The starting prices for the condos are US$455,000 to US$490,000 for two-bedroom units, while the three-bedrooms start at US$525,000.
No timeline was given for the completion of the remaining six blocks.
The gated beachfront condo complex was designed by Italian architect Emiliano Faustini with civil and structural engineers Peter Jervis and Associates.
Drax Hall's proximity to Ocho Rios, the Ian Fleming International Airport and tourist attractions such as Dunn's River Falls, Mystic Mountains and the Dolphin Cove marine park is being used as selling point for The Marina Village.
"This is a high-income development with price starting at US$455,000," said Burke, when asked about the target market.
Buyers are expected to pay 10 per cent as deposit and close the sale in 60 days.
Marina Village spans 14.1 acres. New Era declined to state the purchase price of the land, which real-estate sources said was acquired from Jamaica Redevelopment Foundation.
The full complex will incorporate a marina, private beach, swimming pools, jacuzzi, fountains, gazebos, tennis courts, gym, paved walkways and gardens, central air conditioning, solar water heater, 24-hour security, and underground garage.
Napa Heights
The second development being undertaken by the Salm family on the hillside of Drax Hall is called Napa Heights. It comprises land lots priced at US$41,580 and US$60,000.
Salm said Friday that titles were being prepare for the lot, and that just one of 99 lots was left to be sold under phase one. Phase two lots will hit the market once infrastructure work is complete, he said.
According to the Jamaica National Heritage Trust, Drax Hall estate was founded in 1669 by William Drax, who came to Jamaica from Barbados. The property was later purchased by the Sewell family.
The Salms attempted to sell Drax Hall to defunct investment company Cash Plus Limited in 2007, but the deal faltered, Salm said Friday.
Cash Plus owner Carlos Hill had wanted to develop the resort with a 27-hole golf course, a marina for the largest yachts, promenade and shopping complexes and an airstrip to accommodate private jets. He hoped as well to secure brand alliances with either Marriott, Hilton or Hyatt hotels.
Hill is now before the court on fraud charges, accused of operating a multibillion-dollar Ponzi scheme.
[email protected]
Several liens on the Drax Hall property held by former creditors are being lifted after years of legal wrangling, clearing the way for more aggressive marketing of the estate, according to Andrew Salm, whose father largely owns the estate.
The hunt is currently on for buyers and investors.
Two residential projects are already under way at the property, including a condominium complex under development by New Era, called The Marina Village - a project said to be unconnected to the Salms.
Drax Hall's development ambitions have been plagued by lack of funds and indebtedness. The property held by Drax Hall Limited is owned by Richard Salm and family.
Andrew Salm, the CEO of AMBS Developments Limited, said Friday that Drax Hll is not entirely free of debt but its owners have made sufficient progress with former backers to press ahead with the execution of the master plan for the property.
"We have resolved a lot of behind-the- scenes issues," Salm said, but gave no details.
Real-estate sources with knowledge of the property say failed insurance company Dyoll at one time held two sites slated for major hotel development, which later fell into the hands of Finsac.
The various liens, imposed after loans were defaulted on, led to a problem in creating developments on the northside of the property, said the source who spoke on condition of anonymity.
AMBS is prospecting for a buyer for 30 acres slated for a resort development incorporated in the master plan, on behalf of Drax Hall, Salm told Sunday Business.
Meantime, New Era Homes 2000 Limited is constructing the Marina Village on the section of the property fronting the sea. The complex features 224 condominiums spread across seven buildings, each with 24 two-bedrooms and 8 three-bedroom units.
The condo project was originally launched two to three years ago. One block has been completed, the developer said.
A 'slow seller'
Real-estate sources describe the Marina Village as a "slow seller".
Lenworth Burke, Legal Counsel for New Era Homes, said Thursday that the company's owner was investing US$100 million (J$9.9 billion) in Marina Village. New Era is owned by Leo Taddeo.
The starting prices for the condos are US$455,000 to US$490,000 for two-bedroom units, while the three-bedrooms start at US$525,000.
No timeline was given for the completion of the remaining six blocks.
The gated beachfront condo complex was designed by Italian architect Emiliano Faustini with civil and structural engineers Peter Jervis and Associates.
Drax Hall's proximity to Ocho Rios, the Ian Fleming International Airport and tourist attractions such as Dunn's River Falls, Mystic Mountains and the Dolphin Cove marine park is being used as selling point for The Marina Village.
"This is a high-income development with price starting at US$455,000," said Burke, when asked about the target market.
Buyers are expected to pay 10 per cent as deposit and close the sale in 60 days.
Marina Village spans 14.1 acres. New Era declined to state the purchase price of the land, which real-estate sources said was acquired from Jamaica Redevelopment Foundation.
The full complex will incorporate a marina, private beach, swimming pools, jacuzzi, fountains, gazebos, tennis courts, gym, paved walkways and gardens, central air conditioning, solar water heater, 24-hour security, and underground garage.
Napa Heights
The second development being undertaken by the Salm family on the hillside of Drax Hall is called Napa Heights. It comprises land lots priced at US$41,580 and US$60,000.
Salm said Friday that titles were being prepare for the lot, and that just one of 99 lots was left to be sold under phase one. Phase two lots will hit the market once infrastructure work is complete, he said.
According to the Jamaica National Heritage Trust, Drax Hall estate was founded in 1669 by William Drax, who came to Jamaica from Barbados. The property was later purchased by the Sewell family.
The Salms attempted to sell Drax Hall to defunct investment company Cash Plus Limited in 2007, but the deal faltered, Salm said Friday.
Cash Plus owner Carlos Hill had wanted to develop the resort with a 27-hole golf course, a marina for the largest yachts, promenade and shopping complexes and an airstrip to accommodate private jets. He hoped as well to secure brand alliances with either Marriott, Hilton or Hyatt hotels.
Hill is now before the court on fraud charges, accused of operating a multibillion-dollar Ponzi scheme.
[email protected]
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