Ocean Club settles claim

Joyce Finneity and Shelly Price stand in front of a
friend’s destroyed home.

Friday,  July  1, 2005

After nine months what is said to be the largest residential condo complex on Grand Cayman has finally reached a settlement with its insurance company.

Ocean Club owners finally arrived at an agreement with the complex’s insurance settlement after a long period of wrangling.

Since negotiations with contractors are still underway, the amount of the settlement was not made public; however, it is estimated to be between $9 and $12 million. The complex of 141 units will likely be rebuilt the way it was, because any changes requires a unanimous agreement of all 131 owners according to strata law. Letters to owners were mailed this week notifying them of the insurance settlement.

"We are taking bids from a number of local contractors,” said General Manager Gerris Miller. “We expect to select a contractor within the next three to four weeks and after that we expect it will take about 18 months for the complex to be completed.”

Mr Miller said that it is likely that many owners will be able to move in before 18 months as condos are completed during the reconstruction period.

“Some of the condos on the oceanfront may need to be redesigned because the Planning Department has changed the setback from the ocean and there is limited space. We may need to put the oceanfront condos on stilts and that might create problems with three floors, but we are still in discussions with Planning to work these things out.”

He explained most of the damage resulted from seawater flooding the condos than hurricane force winds.

Moreover, most of the condos are unliveable, but there are eight units that didn’t have as much damage which are currently occupied.

Some condo owners have said they faced financial hardship as they had to pay rent on top of a mortgage, strata fees and insurance premiums, as insurance negotiations appeared to drag on for several months.

The insurance settlement now gives owners an idea of when they might be able to move back into their homes.

The complex was very popular among a broad spectrum of renters and owners, including 300 adults and children and offered decent accommodations with numerous swimming pools at a mid-range price.

Since Hurricane Ivan, the Ocean Club area has been an eyesore and alongside the vacant lot next door that used to be Mariner’s Cove, which will not be rebuilt after residents of that condo complex agreed to take the money.

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