The building is at #1 Alexandra Place, St Clair, formerly subject of controversy for being leased out under the former Patrick Manning Government, virtually on the eve of the 2010 General Election.
Khan said the lease was $600,000 per month ($9.6 million per year), amounting to $45 million over five years.Khan related that under the PP government the then Ministry of Local Government had agreed on a payment in the range of $18 million to $23 million to outfit the building, but eventually on a virtual ‘sole selective tender’ basis a firm named COSL had bid $73 million.
It all ended up with some $45 million in lease/rent being paid over five years, plus a debt still owed of $71 million (out of the $73 million), giving a total bill of $116 million for a building that has never been used by that Ministry, lamented Khan.
Khan said a permanent secretary was so outraged that he hired a quantity surveyor (QS) to estimate the value of the outfitting work done, which the QS reckoned at $24 million. “This matter is now before the Solicitor-General for her advice,” said Khan.