property deemed as the "oldest geometric formations in Bermuda''.

Works and Engineering Minister the Hon. Clarence Terceira announced in the House the long-sought-after property of Mr. Russell Dismont at Blue Hole Hill is expected to be turned over to Government by the end of next week for $800,000.

And he said, after years of negotiating with some 12 overseas beneficiaries of the Outerbridge Trust, an agreement was reached last month to sell the 11.5-acre area beside the 2.8-acre Dismont property to Government for $2.8 million. The initial asking price was $4 million.

The Dismont property will become a part of a 40-acre national park and nature preserve system in Hamilton Parish that has been described as "the last great bastion'' of plant life rare to Bermuda.

The total area runs from the Causeway south along the shoreline beyond Tom Moore's Tavern and as far west as Harrington Sound Road.

It is made up of the Dismont and Outerbridge lands, 22 acres of the Walsingham Trust and ten acres of Wilkinson Trust land. The area also includes the recently formed Walsingham Marine Park of 68 acres of shoreline waters.

Mr. Dismont was originally asking for $1 million for his property while Government was offering $650,000.

An arbitration panel allowed Mr. Dismont to go before the Development Applications Board to determine the land's development value.

During subsequent negotiations, Dr. Terceira said, Mr. Dismont's lawyer Mr.

Richard Hector was able to provide evidence of a private offer of $980,000 having been made for the property.

Mr. Dismont offered to accept $800,000 from Government for the property plus just under $31,500 for legal costs and surveyors fees.

"We realised the value of the land had become much higher than that, so we accepted their reasonable offer,'' Dr. Terceira told The Royal Gazette .

"It now we must put aside open space for future Bermudians,'' he told the House.

And while members of both sides of the lower house praised Government in buying both properties in an attempt to retain some of Bermuda's dwindling open spaces, Mr. Julian Hall (PLP) said he was a bit disturbed by Dr.

Terceira's admission that Government bought the Dismont property for less than its value.

"The Opposition party applauds every single acquisition of land for open spaces,'' he said. "This is clearly the jewel in the crown. Government is to be congratulated on bringing this (Dismont) matter to a successful and what seems to be happy ending.

"While we're very pleased to see that struggle come to a conclusion, we're not interested in acquiring these open spaces for anything less than its true value.'' "We mustn't be in the business of ripping off people,'' Mr. Hall said.

He asked Dr. Terceira to tell the House whether or not he was misquoted.

"And if that is correct, how does the Minister justify ripping people like Mr. Dismont off?'' Mr. Hall said Dr. Terceira was also vague in his explanation of how the $2.8 million figure was reached for the Outerbridge property.

National Liberal Party Leader Mr. Gilbert Darrell asked if Government has a policy on purchasing land.

"Without a policy, how do you control the price?'' Mr. Gilbert asked. "As availability of property gets shorter, the market price is going to go up and make it more difficult for Government to purchase it.'' Mr. Eugene Blakeney (PLP) said he was very happy to see Government purchasing land for open spaces.

But he noted that in the early 1980s, Government ignored his request that they purchase the Southlands property in Warwick to retain as open space in the densely-populated parish.

"I was recently appalled to see that Southlands property is making application for extensive development,'' he said, adding that retired foreigners will probably purchase the units planned for the site.

"They (Government) should be putting that aside for future generations.

"Do we need to take a property like Southlands and develop it for those particular needs that have been indicated in such a densely-populated area.

That should probably be one of the areas that the Minister starts some early negotiations to keep it that way.'' Environment Minister the Hon. Ann Cartwright DeCouto stressed the importance of retaining the property which is a breeding ground for rare species of fish, fauna, and flora.

She urged all members to visit the area.

Dr. David Dyer (UBP) noted that the acquisition of these properties brings open space owned by Government to about 10 percent.

Noting that Government managed to buy the 11.5 acres from the Outerbridge Trust for $2.8 million, he said Mr. Dismont "definitely got value for money''.

Dr. Dyer also suggested Government should go a step further and restructure death duties so that they could be offset against the value of such properties.

Dr. Terceira said he was pleased that the PLP was fully supportive of the acquisitions. But he noted that "a long time ago'' Opposition Leader Mr.

Frederick Wade said if he became Premier, the first thing he would do is turn Port Royal golf course into space for housing.

"But that was a long time ago and it is hoped that he has matured by now,'' he said.

Dr. Terceira said Government decides on the purchase price of land by doing comparisons and looking at the economic situation of Bermuda.

"We also take into consideration what we put in the budget. It is usually the business of a willing seller and a willing buyer. So this idea of Government trying to rip off people is a lot of nonsense.

"When we deal with the vendor in this (Dismont-like) position, we have to balance between what's in the interest of taxpayers and what is a fair price for the vendor.''