Jamaica real estate sector shows resilience after Hurricane Melissa

Jamaica's real estate industry is continuing to attract investor interest even after the uncertainty created by Hurricane Melissa, according to stakeholders who spoke on the opening day of the Thropex Investor Conference in Negril, Westmoreland.

Industry representatives said concerns about damage to the construction and property market have begun to ease. While the hurricane delayed some developments, they said demand remains firm for both residential units and commercial space.

One speaker pointed to several areas of growth, including returning residents buying property, new investors entering the market, major hotel projects and conversions of hotels into condominium-style developments.

The sector was described as still expanding, with participants saying Jamaica remains attractive for those looking to invest in real estate. That interest is continuing even as developers and buyers weigh inflation, higher insurance costs and the risks linked to climate events.

The conference also focused on the rapid growth of short-term rentals, especially Airbnb, which speakers said has become a major influence on the wider property market. They noted that smaller operators with villas and Airbnb units are now competing more directly with larger tourism interests.

The Government has announced that short-term rental properties, including Airbnb listings, will be required to pay General Consumption Tax from April 1, 2027. Some stakeholders have concerns about how that requirement will be implemented.

One participant said compliance itself is not the problem, but argued that the process should be made less burdensome. The speaker urged the Government to reduce paperwork and make it easier for operators to become licensed and meet the rules.

Speakers also cautioned that while tourism-related property investment is creating opportunity, policymakers must consider the need for affordable housing alongside the continued expansion of villas, hotels and short-term rental properties.