As neighbours move in, JSE lists 'security' building
Published:Sunday | August 21, 2011 | 12:00 AM
Sabrina Gordon, Business Reporter
The Jamaica Stock Exchange (JSE) is now reviewing offers for a building adjoining its head office, which has been empty for more than five years.
"We have received a few offers in writing," said JSE general manager Marlene Street-Forrest, adding that the sale was timed to take advantage of migrating businesses, which have begun to see economic advantages in relocating to cheaper space downtown.
The JSE placed the 1,656.07 square-metre building with land area of 1,798.13 square metres at 38A Harbour Street up for sale on Tuesday. The measurements translate to 17,826 square feet for the building and 19,355 sq ft for the land.
The asking price was not disclosed, but one realtor estimates that office buildings in that area, depending on the condition, may go for J$3,000 to J$4,000 per square foot.
If it is a derelict building, then it may fetch about J$1,500 per square foot, while price for land space ranges between J$800 and J$2,000 per square foot.
In fair condition, another realtor estimates that the building could have a price tag of J$50 million, or half that if the building is derelict.
Street-Forrest said the building is in need of repairs, but not the extent required.
Formerly owned by the Bank of Jamaica, and just a stone's throw away from the JSE office at 40 Harbour Street, the building was purchased five years ago for security purposes due to problems with 'undesirables', said Street-Forrest.
"Many companies are now looking to come back downtown, so the idea is to sell to a good buyer," said the JSE boss.
Several projects are now on the table for the rebirth of downtown Kingston, most notably the new headquarters on the waterfront for Digicel Jamaica and its parent, Digicel Group.
The Kingston Restoration Company is also poised to roll out a multibillion-dollar programme to restore buildings along the Harbour Street corridor for commercial and residential use.
Street-Forrest said the futuristic view is that the space now occupied by the JSE is adequate, given that any future expansion of the operation is likely to be technology driven with little need for larger physical space.
"We are not in the business of real estate, and if one looks at the operation of the JSE and the JCSD, it is more computerised," said Street-Forrest.