Durrant Pate/Contributor

Kingston Properties Limited (KPREIT) is comforted by the returns being made from its real estate investments in the Cayman Islands, which are reaping steady dividends.

KPREIT, a prominent player in the real estate investment trust sector in Jamaica and the Cayman Islands has been investing heavily in Cayman and is seeing good returns from those investments. The company has firmly established itself in the Cayman Islands as its second-largest market, which lies strategically positioned between Jamaica and the United States.

Last week, the Jamaica-based KPREIT closed on another real estate deal in Cayman but the price tag is being kept secret. At present revenues from its Cayman assets are running a close second to Jamaica based on its half-year performance as at June.

The revenue outturn from Cayman was US$737,370 million behind Jamaica with US$982,595. KPREIT’s small American portfolio returned revenues of US$11,465. In terms of assets, KPREIT boasts a substantial portfolio with US$51.5 million in Jamaica, US$24.7 million in Cayman and US$5 million in the United States.

No sale price on latest acquired Caymanian asset

Last week, KPREIT closed its acquisition of the Grand Harbour commercial complex and an adjoining parking lot, marking its fifth acquisition in the lucrative Cayman market, where per capita income stands at US$88,476 (2021), according to the World Bank. This latest acquisition solidifies KPREIT presence in the region. 

The mixed-used residential, commercial and marine subdivision development which spans 6.9 acres, and comprises 36 units totalling 37,276 square feet, was listed by Coldwell Banker with an asking price of US$15.98 million. However, the final closing cost of the deal has not been released but CEO Kevin Richards hails the acquisition as a major milestone for the company in the Cayman Islands.

He was keen to clarify that the purchase did not encompass the entirety of the property, which is situated on the outskirts of the capital, George Town. While specific figures remain undisclosed, Richards revealed that this transaction significantly surpasses the company’s previous investment of US$3.13 million in three commercial units within the Gum Tree 5 mixed-use industrial development.

The newly acquired Grand Harbour units, spanning an impressive 37,276 square feet, are currently fully tenanted, a promising aspect of this investment, KPREIT has said. The company has been actively engaged in acquisitions, primarily in Jamaica and Cayman and now sets its sights on potential opportunities in the United Kingdom, as its next strategic move in the real estate market.