Government is getting out of the real estate business, Community Development Minister Wayne Scott told the House of Assembly yesterday.This as legislators on both sides of the House acknowledged the failure of the Grand Atlantic development and a challenging real estate market.“Government should not be in the real estate business,” said Mr Scott. “BHC, with what they are doing with the Grand Atlantic, is a perfect example of that taking a step back before we go forward.”He added: “Bermuda Housing Corporation was cash-flow positive until this $40-plus million Grand Atlantic (project). Really they started to struggle with cash flow from 2010 when they in fact had their funding cut.”The cuts affected the maintenance schedule which was trimmed to a health and safety focus, the Minister said.Mr Scott was responding to comments from Opposition MP Dennis Lister following his delivery of his budget brief on the BHC.Mr Scott informed his colleagues that the BHC is looking to divest some assets and was putting a hold on any further decisions on the Grand Atlantic development on South Shore, Warwick.“The reality is that the Bermuda Housing Corporation cannot afford the financial strain,” the Minister said.He told the House that only one unit had been sold and two sales were pending.Shadow Community Development Minister Dennis Lister asked the Minister what was the “real true impact” the financial haemorrhaging of the failed project was having on the ability of the BHC to meet its services mandate.He asked the Minister to ensure that the interests of the purchaser and intended purchasers of the units are protected should the BHC change the use of the property.While the BHC deserved praise for building a stock of housing, and both the Progressive Labour Party and United Bermuda Party administrations had built public housing, Mr Lister said. “It’s time for the new Government to not get into building houses — at least in this market time that we’re in,” he added.He continued: “Whilst we have unsold units, both private and Government, there’s no need to continue to build housing stock.”Mr Lister said, however, that there was a need for better management of how the Country goes about ensuring its people are housed.And he called for an end to Government providing housing to several generations of families.Government assistance should be limited to young families and seniors, he said. But, at some point, assistance should end, he said.“We have to look at the whole social package holistically and make sure we are not hampering by giving out what we think is help. Help is needed but it shouldn’t be life-lasting.”Mr Scott agreed with the approach suggested by Mr Lister and said that 60 clients were being assisted in private sector housing, while another 200 clients on assistance were in public housing.There are approximately 700 families in BHC housing, he said.