Barnett hires Kier to construct space at tech park
Published:Friday | November 29, 2013 | 12:00 AM
Robert Browne, Business Reporter
Mark Kerr-Jarrett, owner of the Barnett Tech Park in Montego Bay, signed a contract with Steve Milner from Kier Construction Wednesday, to develop 50,000 square feet of production space at the park.
The value of the contract was not discosed.
The idea of creating the tech park has been 20 years in the making, from 1994 "when we were building the MoBay South master plan", Kerr-Jarrett told The Financial Gleaner at the signing in Kingston.
He earlier had an emotional moment when speaking at the signing and thanking his wife, Paula Kerr-Jarrett.
"She has been my rock. She is my partner, not just as my wife but as my business consultant. She is such an asset, I can't even put it into words," said Kerr-Jarrett.
"It's been a very long road to get here," added Paula, who stood by her husband for the rest of his speech.
The entire project costs US$8 million, Mark Kerr-Jarrett said. Construction is scheduled to start in January 2014, with a completion date 10 months later in October.
Once completed, the new centre will be the second facility for the 46-acre park. Vistaprint, an international graphic arts company, was the first to acquire space there and has constructed a 120,000-square foot customer service centre, "which has set the benchmark for all of us to follow", Kerr-Jarrett said.
The park is the commercial side of a 400-acre development which includes 1,200 residential units and a major tertiary institution to be located on adjoining lands. The park consists of 10 fully serviced lots, which are available for sale or for Barnett Limited to design and build to specifications.
Barnett is aims to develop 50,000 square feet of space per annum, and wants to set up a standing inventory of at least 100,000 square feet "so we are always ready for those clients who, for whatever reason, maybe a typhoon in the Philippines, are looking for first-class facilities in the nearshore environment," said Kerr-Jarrett.
"One person's disaster is another person's opportunity, and we must always have the stage set to move into that opportunity," he said.
The park has the potential for a total of 800,000 square feet of production space which will allow for 10,000 seats, or up to 36,000 jobs on three shifts, Kerr-Jarrett said. That would convert to "J$10.8 billion in direct taxes," he said.
To attract clients, "we are willing to do anything", Kerr-Jarrett said - sell the land, construct the building or go into operations with the company. "The flexibility to the model is there."
The park has not yet signed up any BPO clients. "We have a couple we are talking to - mainly US-based," said Kerr-Jarrett.
PUSH FOR LOCAL PLAYERS
But his main push will be for local players. "We encourage Jamaican operators because it is with them that we will bring stability to the business, because they won't leave."
The park will also have 135,000 square feet of commercial services to support the operations, with infant and toddler care services, a canteen, doctor's office, banking, recreation and fitness services.
"The investment potential is US$96.8 million, so there is plenty of room for multiple investors," he said. "Finding the money is sometimes the hardest thing to do."
In calling for more Jamaican investment in the BPO sector, Kerr-Jarrett asked: "If we, as Jamaicans, do not have the confidence and courage to invest in our own country, who will?"
The park project is backed by a line of credit from the Development Bank of Jamaica (DBJ). It was one of five applications recently approved by the bank, with a sixth currently being evaluated according to Milverton Reynolds, managing director of the DBJ.
"This is an excellent example of what can happen when private and public sectors work together," Reynolds said.
The developments are for Portmore, Kingston and Montego Bay.
The DBJ supplied US$5 million for Barnett Tech Park, which will cover construction costs or about 70 per cent of the total project cost, said Kerr-Jarrett. Barnett is financing the other 30 per cent for that costs that include the land, which it owns, architects and other services.