PJAM to open ROK Hotel and Residences in late 2021

September 1, 2020

Ms. Joana A. Banks, Senior Vice President New Business Development & Strategy, commented on the financial performance of the Company. Property income moved from $1.48 billion 2015 to $2.23 billion in 2019 with corresponding occupancy levels increasing from 83% to 96% in 2019. PanJam Investment Limited (PJAM) for the year ended December 31, 2019, reported a 42% increase in total income to total $4.63 billion (2018: $3.26 billion) to result in net profit amounted to $8.35 billion (2018: $5.36 billion). For the six months ended June 2020, PJAM reported an 85% decrease in total income to $335.75 billion (2019: $2.30 billion) which translated in a net profit of $510.41 million (2019: $3.96 billion).

COVID-19 Response: 

  • Business Continuity Committee established COVID-19 protocols for all buildings
  • Taken steps to preserve cash, including rigid cost containment exercises and the suspension of quarterly dividends for both May and August 2020
  • Protecting jobs for as long as possible; to date, we have not implemented any layoffs

 PJAM highlighted its strategic three imperatives:

  1. Growth of Trading Portfolio
    • Specific focus on Jamaican markets, while maintaining diversification to hedge against shocks.
  1. Take strategic additional equity positions
    • Utilize capacity to provide financial support and impart transformation leadership
    • Explore investment landscape for opportunities to partner with companies that meet investment guidelines, in industries that complement existing holdings
  1. Expand real estate portfolio
    • Capitalize on deep history of and experience in property development, management and rental
    • Investment in real estate strengthened balance sheet with assets that provide steady, predictable cash flows and inflation hedge

Looking ahead, PJAM noted:

  • There is no clear end in sight for COVID-19, both locally and internally.
  • Management has taken a number of steps to preserve cash.
    • Rigid cost containment exercises
    • Suspension of quarterly dividends for both May and August 2020
  • Strong liquidity position and low leverage
    • Portfolio of cash and securities of $13.6 billion
    • Debt to equity of 32.2%
  • ROK Hotel and Residences- sale of residential section with top 4 floors comprising six penthouses, 36 apartments. Renovation work began in mid-2019. PJAM hoped to complete development in the late 2020s but now targets an opening date in the third quarter 2021.

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