THE Jersey Development Company recorded a post-tax profit of £7.4 million last year after successfully completing two development projects.
JDC chief executive Lee Henry said completion of the 280-home Waterfront Horizon development and the newest International Finance Centre building on time and within budget was “particularly pleasing” against a backdrop of a “bleak picture” for the construction industry in Jersey.
The firm’s 2023 annual report said the profit marked a “significant swing” from 2022, when the government’s regeneration arm completed no developments and posted a £1.5 million loss.
Its total assets were worth £133 million at the end of 2023 compared to £109 million in 2022 as a result of investment in its portfolio.
The company’s financial statements also revealed that it paid £697,000 in dividends to the government, and its income from car parks increased by £92,000.
However, the company pointed out two “lowlights” of the year – the rejection of plans to redevelop the Waterfront, and its initially failed bid to build 139 apartments on the site of the former Planning offices on South Hill, which was eventually approved earlier this year.
In a statement, Mr Henry said: “Jersey Development Company continues to positively deliver for the Island’s community, whether it be with the creation of new homes, state-of-the- art office accommodation for the Island’s primary economic industry or high- quality public open spaces.
“The performance reflects the hard work from a dedicated and experienced team and board, as well as enduring partnerships with our design teams, main contractors and their associated sub-contractors.”
In the report, he added: “The construction industry, both national and locally, has truly suffered in the past year. The loss of some key longstanding local contractors is a real blow to the Island, but given the cost-of-living crisis and the soaring costs seen in this inflationary period, it was not unexpected.”
Camerons, one of the Island’s largest building contractors, folded last March.
Mr Henry continued: “With this bleak picture as a backdrop, it was particularly pleasing and significant that we successfully completed both our development projects during the years as anticipated and within appraisal budget.”
JDC interim chair Nicholas Winsor, also writing in the report, said it had been a “successful” year and a “strong operating performance” had translated into an “excellent” profit.
He noted that it was “disappointing” that its planning application for the Waterfront development – which would have included around 1,000 homes – was thrown out last September for several reasons.
Mr Winsor said with a new government in place and a “modified approach” to developing the Southwest St Helier Waterfront, the company was confident that it could make progress on this project in 2024.
“We are working with the relevant government departments to address infrastructure requirements which are outside of our control, prior to any new planning applications being made,” he said.
He added that 2024 would see detailed designs for South Hill put forward, and tendering for construction in 2025.
