It?s now official ? Government has abandoned plans to sell Anchorage Road homes after renovation.

The development was announced at yesterday?s Senate sitting, forcing Opposition Senate Leader to withdraw a motion condemning the plans.

But it is unclear whether current residents of the Bermuda Housing Corporation owned homes in St. George?s would be able continue their tenancy following the renovations as the quango plans on increasing the rents.

?The Corporation, as per the original extensive renovation plans, intends to create four two bedroom, two bathroom units in each building and redirect the road so that it flows behind the buildings,? said PLP ?However, these units will not be sold as previously announced. Instead they will be made available for rent at a rate reflective of the cost of the renovations and the value of the completed units. As the current rents are indicative of the present condition of the units, the new rents will be increased to reflect the significant upgrade in condition. The actual rent amount for each unit will not be determined until the completion of the project.?

Sen. Swan had expected his motion to be debated yesterday morning until informed him that he understood that Government had changed plans.

Tenants in the 16 unit housing block reacted with outrage and considerable anxiety when it emerged late last year that BHC planned to sell the houses for between $600,000 and $700,000.

Former Housing Minister Terry Lister had defended the plans as a way to boost home ownership and provide funds for other housing initiatives.

Sen. Swan had taken up the residents? cause against the proposals arguing that the cohesive close knit community would be broken up in favour of homes for the middle classes.

With his Opposition colleague , Sen. Swan took the campaign to the Senate floor and managed to extract a promise from Government Senators that they will meet with the residents and discuss their concerns.

Soon new Housing Minister Ashfield DeVent was indicating that the plans may not go ahead.

Sen. Swan lost no time in taking credit for Government?s change of mind yesterday. ?My motion has certainly served its purpose,? he said.

And during the motion to adjourn he said it was a ?good day? for those who had expressed their outrage.

?Unfortunately many of these persons have been displaced from their community but I applaud those who stood with me to put things right.?

UBP followed up with a sermon deriding the ruling party as an ?about face? Government that couldn?t be trusted.

It remains unclear, however, whether the tenants would be able to continue living at Anchorage Road when the rents go up.

Sen. Burrows told his colleagues that the rents will be ?affordable?. Asked whether the new rents will reflect the income level of the current tenants, BHC manager Vance Campbell stressed that rent levels were yet to be determined.

?All I can say is that the rents will go up. I cannot say if they will reflect the incomes or not, but they will be increased. They are as low as $500 to $600 at the moment and that?s reflective of the condition of the units.?