The SOLOMON Islands National Provident Fund (SINPF) Board of Trustees has signed a construction agreement with Hatanga Limited to construct eight (8) townhouses, a clinic and related facilities on its land above the apartments Hibiscus at Point Cruz, Honiara.
The agreement was signed on Friday, March 4, 2022, according to a statement released Monday by SINPF.
The building deal also includes an extension to its Hibiscus apartments.
In his prepared remarks for the signing, SINPF Board Chairman Dr Jimmie Rodgers is pleased that the start of construction on this exciting project can now continue after signing.
“Completion of this project will see the SINPF Board of Trustees host the residence for DFAT officials working and living in our city and country, while the new development will also continue to contribute to our efforts to rejuvenate to our city, Honiara.
“It took us some time to tender for the construction of the project and the successful selection of a competent local builder and contractor, Hatanga Limited,” the Chairman added.
Tendering for the project was carried out in two tiers or stages (EOI and pre-qualification) and a clean tender to 5 shortlisted shortlisted bidders.
A peer review of the tender process was also carried out by a competent and independent local engineering company.
Hatanga Limited, with similar skills as the other 4 bidders, made a successful competitive bid which was acceptable to the Board in terms of price and expected time to complete the project.
A lease agreement has already been signed in June 2020 with the Australian High Commission on behalf of the Commonwealth of Australia for an initial term of 11 years for the residential complex after the SINPF Board obtained approval from the Minister of Finance earlier in the year in 2020.
The SINPF Board’s Expression of Interest (EOI) was successful after responding to the Australian High Commission’s public request for the EOI to build a residence for its officials in 2018.
The apartment expansion will include 10 additional apartments and a shopping mall for apartment tenants.
Prior to the COVID-19 pandemic, the apartment consistently enjoyed over 90% occupancy. We expect this occupation to return as border and movement restrictions are lifted.
The total investment cost for the entire project will be approximately $112 million, with the DFAT component accounting for approximately 67% of the total new investment and 33% for the Hibiscus Apartment expansion.
In his responses to the Chairman of the SINPF Board, the Managing Director of Hatanga Limited, Jeremy Bartlett, acknowledged and thanked the Board for giving the opportunity to a local entrepreneur such as Hatanga Ltd.
“It is a mark of confidence in local businesses in the Solomon Islands and I am proud of this achievement,” he said.
Hatanga Ltd is expected to complete the DFAT complex first before completing the apartment expansion within 2 years.
Mr. Brian Diamond of the Australian High Commission in Honiara was also present at the signing. He reiterated that the Australian High Commission is proud to partner and work with the SINPF Board to finalize the project.
“As it is an investment for people who are members of the Fund.”
In addition, Mr Diamond added that “the housing project will also help us attract people from overseas with families to Honiara, ensuring that we tap into the skills and resources we have in Australia to come and contribute. to the development of the Solomon Islands”.
The SINPF Board of Directors is proud and pleased to partner with Hatanga Limited, a nationally capable company to invest in this new development which will build on and increase the wealth of our
members’ retirement funds.
“It is also a testament to the confidence of the SINPF Board in our own economy in commencing this new investment at a particularly difficult time for our country,” Dr Rodgers concluded.