The Editor, Sir:

Martin Henry's article 'Real estate distortions' (The Sunday Gleaner, June 28) and Susan Gordon's article - '105 NHT properties hunting buyers' (The Sunday Gleaner July 27, 2007) are instructive and provide excellent background information on housing challenges facing many Jamaicans.

The area of private treaty purchases needs to be regulated by the Government; and if regulated, the law made to have some 'teeth'. Case in point, an NHT strata apartment complex in Kingston 10. The original developer it is said sought to provide housing accommodation for young professionals, hence, the 48 studio apartments. This scheme once was regarded as a model NHT scheme.

Owners were classified as:

Those who have sold their apartments in order to attain larger accommodations.

Those who have rented their apartments

The minority who still own and live in the complex.

No formalised fees

The majority of apartment owners rent their property at market rates. The payment of maintenance fees is not clearly formalised between owners and tenants; hence, there is a perpetual shortfall in the collection of maintenance fees for the upkeep of the complex.

The complex has been unsuccessful in obtaining a loan from lending institutions to maintain the structural facilities. At the present time, the car park is in a dilapidated condition and poses a health hazard.

High insurance

For those owners who obtain mortgages through the NHT, the insurance amount is equivalent to the loan balance. In the event of a major disaster, the owners cannot claim for damage.

The NHT's only interest appears to be collecting for the interior of the property. There appears to be something inherently antiquated about the laws governing strata properties. Are there regulatory bodies in place?

While I am enthusiastic about inner-city development (I, myself being from the inner city), a clear dichotomy seems to exist between the NHT finding resources to build 'mansions' in inner cities where the return on investment is low and their unwillingness to develop existing schemes which have gone into decline. Such a situation could perhaps explain why real estate distortions continue to allow some NHT properties to hunt buyers.

I am, etc.,

JOAN FRANCIS

jjfrancis@utech.edu.jm

Apartment Owner

Moreton Park

Kingston 10