Entrepreneurial Partners (EP) and Blue Mahoe Capital have signed a memorandum of understanding (MoU) to leverage their combined expertise in real estate development and financing to provide 1,400 affordable houses to the local market.
This initiative will be funded by a mix of private investments and Blue Mahoe Capital’s recently launched SEC-qualified offering in the US.
“Blue Mahoe Capital wants to make it easy for overseas investors to get access to investments in the Caribbean,” David Mullings, founder, Chairman and CEO of Blue Mahoe, stated. “In fact, we are currently focused on delivering 700 homes in Old Harbour with another local partner,” he continued.
Mullings had invited local players in the real estate development space to seek funding through Blue Mahoe Capital, which led EP founder and Chairman Garfield Daley to reach out. In doing so, the businessmen forged a partnership that culminated in the recent signing of the MOU.
So far, both companies have earmarked locations in the parishes of St Thomas and St Catherine to break ground for the construction of one-bedroom, two-bedroom and three-bedroom units in gated communities.
EP is now awaiting approvals from the municipal corporations, and Daley is optimistic that construction will begin in early to mid-year 2025.
“There is a demand in the market for affordable housing solutions, and we are committed to supplying solutions that cater to the needs of Jamaicans, locally and from the diaspora, who now face challenges in affording a home. We have signed an MOU to work closely with Blue Mahoe Capital in a strategic partnership to secure financing to execute a number of projects across Jamaica. If all goes well, we will expand across the Caribbean. This partnership also increases our ability to fast-track the delivery of affordable homes to the market, targeting new homeowners to a large extent,” exclaimed Daley.
Daley refers to the MOU signed between EP and Blue Mahoe Capital as a “strategic synergy,” as his company understands the real estate market, its segments, and demographics and can provide the expertise.
However, he admits that his company has faced challenges in accessing financing to kick-start projects. “This strategic alliance has come at an opportune time for us, and we believe that with the developments taking place in Jamaica, we will be able to make an attractive offer to the market,” said Daley.
The project is estimated to cost between $5 billion and $7.5 billion.
