Daily Archives: October 14, 2013

Trinidad: Invader’s Bay payday?

invaders bay Trinidad (click image for large)

“Ministers of the Government and others employed in the various Ministries must begin to appreciate that laws are there to be followed both by the Government and by members of the public alike.”

Expediency must never be allowed to take priority over principle.

by Afra Raymond

by Afra Raymond

Invader’s Bay has re-emerged from the shadows via PNM Senator Faris Al-Rawi’s budget contribution (PDF) on Monday 23 September 2013 (pp. 168-175).  The twists and turns in this controversial proposed scheme are detailed at the Joint Consultative Council for the Construction Industry – JCC’s webpage here.

Invader’s Bay is a 70-acre parcel of reclaimed State land off the Audrey Jeffers Highway – just south of PriceSmart & MovieTowne – in the western part of Port-of-Spain.  Its value was estimated by the State in 2011 to be in excess of $1.2Bn, so these are prime development lands, possessing these attributes –

  • Water, Electricity and all urban services are readily available;
  • Flat/gently-sloping terrain;
  • Direct access to Audrey Jeffers Highway;
  • Waterfront location.

Before proceeding to the latest revelations, it is important to restate the main objections raised by the JCC and others with respect to this proposed development –

  • The Request for Proposals (RFP) was published by the Ministry of Planning in August 2011 seeking Design-Build proposals for the development of these lands and specifying an entirely inadequate 6 weeks for submissions;
  • There has been no public consultation at all, so the public has not been involved in this, the largest proposed development in our capital in living memory;
  • The RFP was silent as to the other three, extant strategic plans for the POS area, all paid for with Public Money.  Given that the RFP was published by the Ministry of Planning, that is a tragic irony, to say the least;
  • EIA – The RFP is silent as to the requirement for an Environmental Impact Assessment in a development of this scale;
  • The proposals were to be evaluated against the “Invader’s Bay Development Matrix and Criteria Description”, which was only published after the closing-date for submissions.  That is a clear breach of proper tender procedure, which renders the entire process voidable and therefore illegal.

The key points Al-Rawi was advancing seemed to be based on certain leaked Cabinet papers, but not having seen them, there is little detailed comment I can give.

Al-Rawi stated that the Government has agreed to lease parts of the property to two developers – DACHIN Ltd (Derek Chin, the MovieTowne man) and Invaders Bay Mariner Development Company (Jerry Joseph).  He also claimed that those leases are to be granted at the land value quoted by the developer/s’ valuer -$74psf – which is a small fraction of the valuations obtained from the Commissioner of Valuations – $511psf – and PricewaterhouseCoopers, the independent consultant retained by the State – $436psf.

According to Al-Rawi –

…The developers are saying, “Hold on, you need to look at this from a residual valuation approach”, and on a residual valuation approach they are saying, “Remember we have to do infrastructural work, we are only going to get a residue of this land coming into our hands, therefore, we want a residual value approach…   Continue reading

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