The Bermuda Land Development Company (BLDC) is planning to build a total of 83 homes at the former US Navy base in St. David?s to help alleviate Bermuda?s ?serious shortage? of affordable housing.

According to a copy of the BLDC Business Plan for the fiscal year ending March 31, 2005, BLDC has three major housing initiatives for Southside.

BLDC is responsible for four large properties around the Island, Tudor Hill, Daniel?s Head, Morgan?s Point and Southside. However, Southside is the only property where homes will be built this year, it said.

The report said Southside was the site with the ?greatest potential to meet community and commercial needs.?

Capital costs for the financial year ending March 31, 2005 for the residential sector were $6,111,276, or 60 percent of its $10 million budget.

BLDC said its financial strategy was to limit its ?long term debt to a maximum of $5 million?.

?The Company has no debt and from a taxpayers? point of view it is arguable that any material borrowing should be undertaken by the Government of Bermuda or under its guarantee.?

As a result BLDC plan to use the ?net proceeds from the sale of cottages at Southside to finance operating short falls and capital projects?.

However, it said it would only continue to build new properties at Southside ?if a sufficient demand exists?. Gulf Stream Place is the largest tier of the Southside housing plan.

?The Company is currently looking at the feasibility of renovating a condominium apartment complex with 42 one-bedroom units and developing a new townhouse complex with 15 two- bedroom and three-bedroom units,? it said.

?The residential units, which will be sold to the public, will help alleviate the serious shortage of housing in Bermuda.?

Renovations and subdivisions of 11 existing three-bedroom cottages at Southside have been completed.

Ten of the cottages are believed to have price tags around $750,000 or $810,000.

However, the eleventh cottage is expected to be in the $1 million price-range.

The final tier of BLDC?s current residential project will be 15 townhouses, it said.

?The Company is currently looking at the feasibility of developing a 1.5 acre site into a townhouse complex consisting of approximately 15 two-bedroom and three-bedroom units.

?The project is expected to be sold to the general public.?

BDLC said it set aside a three-acre site at Morgan?s Point for the Bermuda Housing Trust.

The Bermuda Housing Trust is planning to develop a seniors residential complex consisting of 30 units at the Morgan?s Point site, it said.