PriceSmart Inc has been approved for the construction of a new office and commercial complex on 14 South Camp Road as the international company continues to increase its Jamaican investments.

This was revealed in the recent June 17 board decision by the National Environmental and Planning Agency (NEPA) under the National Resources Conservation Authority and Town and Country Planning Act. PriceSmart Realty Jamaica Limited, the vehicle which undertakes the development of PriceSmart’s Jamaican real estate, was approved for the construction of the complex which should be greater than 5,000 square metres.

According to the latest records from the National Land Agency, South Camp Fourteen Limited (SCFL) owns the property which was acquired in October 2015 for $95 million. SCFL is owned by Margaret Mahfood with Joanna Mahfood listed as the other director. Another company called South Camp Commercial Park Limited is co-owned by the Mahfood women.

This is the latest NEPA approval for PriceSmart Realty which was approved in February for the construction of a commercial development at Sugar Mill Road, Ironshore, St James. That location is expected to be the home of PriceSmart’s third warehouse club in Jamaica after its Red Hills Road, St Andrew and Braeton Parkway, Portmore, St Catherine locations.

PriceSmart Jamaica Limited received an environmental permit from NEPA in March to construct a food processing facility at 1 East Ashenheim Road. PriceSmart Jamaica had previously signed a lease agreement with Kingston Wharves in July 2023 under a logistics partnership at its integrated modular logistics complex.

PriceSmart disclosed its most recent quarterly report (10Q) that it had entered into six land purchase agreements across Latin America and the Caribbean. If the company was to acquire all six of these properties, it would spend US$22.5 million ($3.58 billion) on these land acquisitions. The Nasdaq listed company tends to purchase the underlying land where its warehouse membership clubs are located and has lease agreements for its distribution centres.

It announced earlier this month that it would be opening its sixth location in the Dominican Republic at La Romana. That new location is 73 miles from the nearest club in the capital of Santo Domingo and should be open by spring 2026. That new location would push its store count to 57 locations after it opens its latest store at Quetzaltenango, Guatemala in summer 2025.

PriceSmart doesn’t disaggregate the earnings of its Caribbean markets on an individual basis. However, it lauded the Jamaican business for its 12.2 per cent growth in net merchandise sales from its two clubs during the August 2024 financial year. It completed the expansion of the floor space at the Portmore location in the subsequent months.

PriceSmart’s Caribbean operations experienced a six per cent rise in revenue to US$725.25 million with net profit improving 11 per cent to US$44.40 million. The segment had US$16.93 million in net capital expenditure and ended February 28 with US$487.80 million in total assets.

PriceSmart’s consolidated revenue for the six months grew seven per cent to US$2.62 billion due to an uptick in net merchandise sales from its Central American operations. Operating profit marginally improved from US$121.83 million to US$123.53 million as it incurred higher operating expenses and loss on disposal of assets. The adjusted EBITDA (earnings before interest tax, depreciation and amortisation) for the period increased by three per cent to US$166.14 million while consolidated net profit grew six per cent to US$81.19 million.

PriceSmart’s stock has rallied 13 per cent in 2025 to US$104.27 which has increased its market capitalisation to US$3.21 billion. The company is set to pay a US$0.63 dividend on August 29 to shareholders on record as of August 15. The company will release its third quarter results on July 10 and have its earnings call on July 11.

PriceSmart chairman Robert E Price is set to step down as interim chief executive officer on August 31 before his son David N Price takes over on September 1. Robert Price is the co-founder of PriceSmart and remains its single largest owner with a 15.1 per cent equity stake. The 82-year-old chairman is set to hand the reigns over to his 36-year-old son who becomes the latest CEO after Sherry S Bahrambeygui. David Price was paid a US$685,000 salary in 2024 and US$4.66 million in total compensation during 2024. His new salary as CEO will be US$1.50 million per year with US$500,000 in annual cash incentive awards and US$3 million of equity incentive awards.

PriceSmart also announced a recent transition plan for its current chief financial officer Michael McCleary, who resigned by mutual agreement and will continue to serve as executive vice-president up to September 30. He will continue to provide consulting support for up to 40 hours per month for three months following his resignation. Gualberto Hernandez was appointed as the new CFO on June 1. Hernandez previously served as the vice-president of finance and strategy for Latin America for the Estée Lauder Companies Inc since January 2016. He previously worked as chief operating officer (finance and operations) for Sephora’s Latin American business.