£1.5m home among trio bought to make way for new hospital

Monday 29 March 2021

The Government spent £1.5m on purchasing the first one of the properties that will be need to be demolished to make way for the new hospital and its accompanying highway, Express has learned.

‘Hillcrest’, which borders the field opposite Overdale, was sold on Friday 19 March in the Royal Court.

The final price was £550,000 higher than when the property was purchased by its most recent owner in 2017.

When Express asked about the purchase on Friday, the Government released a statement confirming that it had already bought three properties ahead of planning permission for the Overdale facility being sought and a Planning Inquiry held.

The homes, which will all be demolished, were acquired following a negotiation process, and not as a result of a compulsory purchase order, a Government spokesperson said.

Deputy Chief Minister Senator Lyndon Farnham, who is leading the project, had previously said that he wished to avoid compulsory purchase if possible. 

Pictured: Hillcrest sold for £1.5m on 19 March 2021.

According to Royal Court papers seen by Express, as part of the Hillcrest deal, the Government - acting in the name of ‘the Public of the Island of Jersey’ - agreed to cover the cost of the vendor’s £5,000 in legal costs.

The seller is also allowed to remain in the property until 31 May 2021, and the Government will pay half their parish rates until they leave the property. 

Express revealed last week that the Government is planning to spend a total of nearly £16m on buying up homes, four fields and an office on Westmount to make way for the island’s new key health facility at Overdale.

Minister for Infrastructure Deputy Kevin Lewis has so far approved the purchase of at least six more homes along Westmount Road: Amyerie, Berkeley Rise, Follyfield, and three at Westmount Terrace. 

CLICK TO ENLARGE: The current plans for the new hospital.

It is not yet clear exactly how much will be spent on acquiring these, however a total of £12.5m has been budgeted for purchasing houses. 

Earlier this month, the Treasury Minister agreed to transfer £11.2m from the Government’s central coffers to fund some of those purchases in advance of a finance solution for the £804m main project being agreed.

This will be decided by the States Assembly this summer, when an ‘outline business case’ and a financing proposal will be presented to and then debated by States Members. 

The Government has already said the Hospital is likely to be funded by way of a loan or bond.