ADB sells headoffice for $10m; only to rent new one for ₵1m per month

The decision of ADB to sell its Head Office for $10million only to pay a monthly rent of GHC1million for a new office has caused a stir and dissatisfaction amongst the bank’s staff.

The bank is now headquartered at the Accra Financial Centre after moving from its ADB house off the Independence Avenue in Accra.

It is paying the one million cedis monthly rent to the AFC, a building it has 10% stake in.

The monthly rent excludes utilities consumed.

For many in the pro-agric bank, the decision by management demonstrates poor judgment because they do not believe it makes business sense.

Management of the bank, however, insist the decision was a prudent one because about 40% percent of the head office staff were housed in other buildings in the city.

This means utilities were paid separately and other rent charges were borne by the bank.

The managers believe bringing all the staff under one roof is cost-efficient even if they were unable to state exactly how much savings is being made. They said when the valuation of the ADB Headquarters was done, the property was valued at GHc17 million but a competitive bidding earned the bank $10million. They, however, say the deal is yet to be concluded.

Source: Ghana|Joy News|Keminni Amanor