JMMB Fund Managers Partners with WISE Construction, Investors to Benefit
JMMB Fund Managers (JMMBFM) and WISE Construction have forged a partnership for the construction of a luxury residential development, dubbed Signature Smart Homes, in the well sought-after Kingston 6 area. This new development is expected to bolster the current real estate portfolio of the JMMB Optimum Capital (Real Estate) Fund managed by JMMB Fund Managers, thereby adding value to its current and potential investors.
In explaining further, Peter Thompson, JMMB Group investment manager, outlines, “With our entry into this residential real estate project, through the joint venture arrangement, investors in our real estate unit trust fund (JMMB Optimum Capital) will benefit from greater portfolio diversification and less volatility in their portfolio; which is timely, in light of the short-term falloff seen in the current equities market. As such, investors can look forward to potentially higher yields, as a result of the gains made from investing in this stage of the construction process”; though the investment manager cautions that the returns are projected and not guaranteed. Sharing further, Thompson underscored that real estate remains a solid long-term investment, in addition, the fund is investment in mainly commercial real estate and generates income from mainly: rental and capital appreciation of the respective properties owned by the fund.
Christopher Walker, CEO, JMMBFM, stated that this is a ground-breaking investment for the fund, and comes in response to the demand from investors for a wider cross-section of assets, for investment purposes. Sharing, “As evidence of the increased demand from investors for diversification and alternate investments, the sector has grown in both the number of players, in the form of real estate funds and publicly listed real estate investment trusts (REITs). Unit trust funds in the sector have moved from only three (3) largely real estate funds in the market, in 2015, to now seven such entities. Correspondingly, funds under management by these unit trusts has grown to over J$37 billion, as at January 2020.”
JMMBFM Offers Investors More Opportunities with Signature Smart Homes
Although, Signature Smart Homes represents the first direct investment in residential real estate construction for JMMBFM, the CEO notes this venture is expected to be a stellar investment opportunity, with projected above-average returns. Adding that, while there is no clear commitment at this time to pursuing similar projects, JMMB Optimum Capital Fund is keen on seizing opportunities that will give great value to its unit holders, and so will explore other such arrangements, on a case-by-case basis.
In touting the benefits of this partnership to investors, Walker notes, “By investing in the JMMB Optimum Capital Fund with as little as J$16,800 (based on unit price on March 20), investors will be able to indirectly participate in the ownership of this and other real estate developments, benefiting from real long-term returns in the market without the need to have the requisite time, expertise or high capital requirements.” Adding, this type of investment is ideal for individuals, who have a medium to long-term investment horizon that creates and preserves wealth.
Partnering to Introduce First of Its Kind Smart Homes
Speaking to the partnership, Douglas Gourzong, CEO of WISE Construction said, “We are excited about this new venture that will bring first of its kind model homes, outfitted with smart technology, to the Jamaican landscape.” The development, dubbed Signature Smart Homes, will boast smart features, ahead of the current market offerings, including: responsiveness to the unique preferences of the occupants, with a centralized user- friendly interface, operated using an iPad or Samsung Galaxy Tab; safety structures with real-time video intercom; fire and flood protection; and energy efficiency. Additionally, the units will be outfitted with smart appliances and automated features that control lighting, temperature, air quality control monitors and entertainment and media, among other add-ons, on the request of the client. Gourzong also notes, “This full suite of smart technology will not just add comfort and style, but will enable occupants to be more efficient, saving them hours in doing over 50,000 tasks per year; that is time that could be better spent with loved ones or pursuing other passions.”
The one-acre, resort-style living development will feature a mix of 38 luxury apartments and townhouses, for residential purposes; complemented by remarkable amenities such as: a simulation games room, gym, jogging trail, infinity pool, entertainment deck, floating deck and elevator, among other facilities for contemporary and luxury living. In keeping with its environmentally-friendly design, the development will house electric vehicle charging stations. The construction is expected to be completed in 2021/22.
Partnering in this development with JMMBFM and WISE Construction are: JMMB Bank and Sygnus Capital Investments Limited.