Government aims to get power to restore derelict housing
The Government is looking to give itself the power to acquire or restore derelict and vacant properties to help address the island’s housing shortage.
Delivering the Budget Statement in the House of Assembly, David Burt, the Premier, said that in addition to building new affordable housing units, the Government planned to amend the Acquisition of Land Act 1970.
He said: “The policy aim is straightforward — to ensure that properties left vacant for years can be returned to productive and socially beneficial use, supporting housing availability, community renewal and economic activity while fully respecting constitutional safeguards, fair compensation and transparent administrative process.
“This includes establishing a national framework for identifying, certifying and managing derelict properties through co-ordinated action across government.
“As legislation and supporting policy measures are put in place to address vacant and derelict properties, restored or acquired properties will be directed towards first-time homeownership, social housing and homelessness reduction pathways so that unused housing stock serves community needs.”
Mr Burt acknowledged that the use of compulsory acquisition powers was a sensitive subject in Bermuda given their historical use.
Many local families have spoken out about the impact of “land grabs” in Tucker’s Town, St David’s and other areas of the island.
He added: “Homeownership, family land and property retention are deeply important to Bermudian families, especially Black Bermudian families, and this government respects that history and that priority.
“Any such powers will be applied narrowly, transparently and only where properties have remained derelict or abandoned for extended periods and owners have not engaged despite repeated opportunities and support to bring those homes back into use.
“The objective is not to take family property, but to prevent long-term blight, restore housing stock and return neglected properties to productive community benefit.
“Taken together, these measures are about restoring balance to a housing system that is not functioning as it should, and ensuring that land and buildings in Bermuda are working for the people of this country, not sitting idle while families struggle to find a place to live.”
Mr Burt said the Budget would support the work of the Ministry of Housing and Municipalities to advance and prepare for the Draft Affordable Housing Strategy 2025-35.
He said that housing was a “critical issue” for the island, stating that high construction costs, limited labour and financing constraints had made it difficult to deliver affordable housing.
It was said in December that there were 748 people on the Bermuda Housing Corporation’s waiting list, including 134 people from 57 households in critical need of housing and 238 individuals from 98 households in urgent need.
Mr Burt said that to help meet the demand, the BHC will receive additional funding, including $26.9 million in capital expenditure, to create new units and expand on its maintenance and refurbishment works.
He said: “These investments will strengthen the quality and availability of public housing and deliver housing infrastructure improvements in existing developments such as Cedar Park, Mary Victoria and Alexandra Road.
“Over the last several months, the Government has been developing a comprehensive affordable housing strategy, while also undertaking detailed research into modern construction methods and engaging with companies capable of delivering these solutions, including precast concrete and modular construction.
“Through this work, more than 30 potential sites have been identified, along with a first phase of development that is ready to proceed and capable of making a material impact on the island’s housing needs.
“Three priority sites have now been confirmed, namely the former Albert and Victoria Row housing sites owned by the Bermuda Land Management Corporation and a vacant government-owned site adjacent to Dr Cann Park in Southampton.
“Financing in the near term will be provided through local financial institutions, supported by a government letter of guarantee of up to $90 million.”
Mr Burt said that modular and precast units are being advanced as part of the housing model, stating that the units are durable, high-quality homes built to Bermuda’s standards, not temporary structures.
He said: “By embracing proven modern construction techniques, we can build faster, build smarter and expand supply while continuing to support local industry.”
Zane DeSilva, the Minister of Housing and Municipalities, said earlier this month that he hoped the models could result in between 100 and 200 additional homes in Bermuda within the next year.
He also voiced ambitions to build between 300 and 400 homes within the next 18 months, adding that 37 new BHC units, at Harmony Hall in Paget, the Chelsea property in St George’s, Battery Road in St David’s and Middle Town in Pembroke, will come online this year.
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