Housing officials have hit back after suggestions that the sale of Southside homes was "robbing the people''.

The Bermuda Land Development Company have moved to put the record straight after Bermuda Industrial Union president and Hamilton East Member of Parliament, Derrick Burgess, claimed Government would make a profit from the sale of the homes.

Mr. Burgess said the 54 three-bedroom homes on the former US Naval base had come back into the Government's possession at no charge, $120,000 was to be spent on each, and selling them at between $200,000 to $350,000 was "not the way to go''.

But BLDC chief executive officer Carl Musson said money from the sale of the homes -- which have already attracted huge interest -- would be ploughed back into the redevelopment of further homes.

"The BLDC will find the development of the houses through commercial borrowings from local banks.

"Revenues raised from the sales will be used to develop Southside in accordance with the Southside Master Development Strategy, and to achieve the goal of commercial independence from the Government.'' Work on the first ten homes will start in September and they are expected to be ready early next year, to be sold on a 125 year leasehold basis, primarily to Bermudian first-time buyers.

Already 206 families have registered an interest in the homes, which will feature special, low down payment mortgages to make it possible for young families to buy.

GOVERNMENT GVT