NHT Revamping Financing Framework to Enhance Developer Payment Flexibility

The National Housing Trust (NHT) financing framework programme is being revamped as part of efforts to enhance flexibility in the release of payment advances to developers.

Prime Minister, Dr. the Most Hon. Andrew Holness, made the disclosure while providing an update on NHT initiatives during his 2025/26 Budget Debate presentation in the House of Representatives on Thursday (March 20).

“In addition to the current mobilisation advance of up to five per cent, the NHT will provide an additional 20 per cent for the Developers’ [Programme] and 15 per cent for the Guaranteed Purchase Programme to reimburse developers at the different stages of the project as key infrastructure milestones are achieved,” he informed.

Prime Minister Holness pointed out that this is necessary to increase funding for development.

He explained that one of the challenges developers encounter is the insufficiency of NHT advances to cover the large initial capital outlays required, noting that infrastructure can account for some 20-25 per cent of the overall project cost.

The Developers’ Programme is an NHT initiative aimed at increasing the supply of affordable housing by partnering with local and international private-sector developers to facilitate the production of low-cost solutions on lands owned by the Trust.

The Guaranteed Purchase Programme (GPP) is a collaboration between the NHT and developers through which the agency agrees to purchase all or some units in housing developments for its contributors.

Under this arrangement, the developer accepts all risks associated with the planning, designing, financing and completion of the housing solutions, while the NHT undertakes marketing in respect of the agreed provisions.