National Commercial Bank is set to benefit from the sale of Palmyra Resort and Spa in Montego Bay, St James Jamaica and an adjoining power plant, owned by Caribbean Green Power Systems Limited that were in receivership, to Sagicor Managed Funds.
Richard Byles, President and CEO, Sagicor Group, announced recently, that the Sagicor Group through their managed funds, acquired the property and assets.
The sale means that NCB will recover monies that were lent to Palmyra, but was classified as non performing loans.
The announcement by Byles did not state the amount paid for the acquisition. With this acquisition the total amount invested over the last four years by Sagicor and its managed funds, amounts to approximately US$200 million in the acquisition and refurbishing of resort properties and attractions, namely, Hilton Rose Hall Hotel, Runaway Bay Golf Club, Jewel Runaway Bay, The Jewel Lagoon Waterpark, Jewel Paradise Cove, Jewel Dunn’s River and Double Tree by Hilton at the entrance to Universal in Orlando.

NCB to benefit from sale of Palmyra..

According to Byles, the company ‘now has J$41 billion invested in hotel properties, making us the 3rd largest hotel owner in Jamaica, earning on behalf of our clients, US$100 million each year. The Montego Bay property is only partly complete, with the design originally meant to have more apartments built out, but slow sales and inadequate capital led to financiers pulling the plug on increased lending.
National Commercial Bank had set aside over J$3 billion for a large client, a few years ago, was incurring cost relating to the receivership, will be a big winner with the sale, as they will recoup much of what they provided for, if not more, cut the cost of receivership and importantly, have more funds to generate added income.