More than 100 derelict homes are to be turned into affordable housing — and owners can either foot the bill or let the Government pay.

Ministers are using the 1950 Amenities (Control of Ruinous Structures) Act, which says it is illegal to own derelict property, to force landlords to fix up their properties.

Government says not only will the eradication of derelict houses rid the Island of its drug dens, but it will create more affordable housing on Bermuda.

The project could ease the housing shortage and also promises to benefit the property owners, who will receive rental income.

However, Shadow Housing Minister Kim Swan said the scheme was "too little, too late" as the Government had failed to deliver on its promise to deal with derelict housing in 1998.

Government has faced legal wrangles. In November 2005, then Attorney General Larry Mussenden pledged to shut down 17 crack houses on the island. To date, it is believed only three have been closed down.

It is now using the Amenities Act and other legislation including the 1980 Bermuda Housing Act to seize control of dilapidated housing.

Project manager Paul Wilson said the Housing Task Force Committee had identified 100 derelict homes, but that the list could extend to 200. He said: "We're having a hard time locating properties as several of the owners no longer live in Bermuda, no longer realise they have legal claim to them or have died.

"These derelict properties are hazardous and a health risk, but they can also harbour illicit activity and that's the Attorney General's (Philip Perinchief's) main concern.

"We're trying to appeal to the owners to come forward so we can help them restore them.

"There's really no need to be fearful at all as at no time will the properties change hands."

Mr. Wilson said: "Whilst it is illegal to own derelict property, the Government is aware that many owners are financially ill-equipped to continue the maintenance.

"The objective of the Bermuda Government is to create affordable housing and eliminate the threats that derelict properties present.

"The Housing Task Force will seek action only in cases where it is sufficiently warranted — therefore we request your compliance in allowing us to help restore your property in order to improve the amenity and quality of life for the various communities concerned."

The Ministry of Works and Engineering will assess whether a property should be renovated or demolished and reconstructed. If the owner joins the scheme the Bermuda Housing Corporation (BHC) will pay all the costs and recover the amount by renting out the property to tenants at 'affordable' rates.

Government outlined the scheme in November's Throne Speech, which referred to it working in "the private sector to generate progressive ways to finance new homes and encourage Bermudian landlords to get abandoned houses and empty apartments back into liveable conditions and on the market for sale or rent".

Mr. Wilson said: "The Bermuda Housing Corporation will have all the money to fix up the house for renovation and construction, and at the end of it they will find tenants. The money from the rent will go to the landlord and part will go towards levelling the BHC's investment. When that has been paid the entire rent will go to the owner."

If an owner decides not to join the scheme however, they will have to pay their own reconstruction costs, as it will be classed as an offence to allow property to fall into a state of disrepair. Owners will be asked for a written account of their intentions and an estimated date of completion.

The Government has today listed several properties in The Royal Gazette identified for demolition.

Shadow Housing Minister Mr. Swan said the United Bermuda Party welcomed the scheme but that it should have been put into action years ago.

"We certainly need to be sensitive to efforts to try to come to terms with this problem, but this has been the subject of repeated election promises. Hopefully we can move beyond this now," he said.

"The Government haven't dealt with the need for affordable housing and now they're trying to re-brand a promise they made in 1998.

"But we in the UBP recognise something needs to be done and we're in favour of looking at the renovations and working with families."

Attorney General Senator Philip Perinchief and Housing Minister Senator David Burch were unavailable for comment yesterday.