Strategy and Performance

Summary of Benefits from the Company

Since 2012, when the operating model was changed to allow the Company to develop directly rather than just facilitate development with third party developers, the Company has provided a net positive financial benefit to the Government of Jersey of £53.7m.

As a Company wholly owned by the Government of Jersey, the Company supports the delivery of the Government’s strategic objectives by delivering development projects identified by the Government of Jersey. By investing in direct development, we retain control over the design and quality and ensure returns are maximised wholistically considering social and environmental matters as well as financial. Benefits have included the delivery of much needed residential accommodation - both open market and Affordable (subsidised) homes and the creation of a flagship office district for the Island’s leading financial services industry.

The retention of returns from the direct development model, as opposed to sale to a third party development, has also allowed the payment of £7.3 million of cash dividends since 2012 and £3.5 million of dividend returned via the transfer of assets to the Government of Jersey, a total of £10.8 million. The Company has provided £3.3 million of investments in Jersey infrastructure and public realm improvements as well as well as supporting social and community projects to a value of £3.2 million.

£53.7m of net positive financial benefit represents a 126% return on Shareholder equity and 11.5% annual return from the transition point of the Company in 2012.