Járngerð rejects link to Þórkatla’s Grindavík buyback plan

The final version of real estate company Þórkatla’s buyback plan was not presented to a housing group convened by the Prime Minister’s Office, which included representatives of Járngerð, an association representing Grindavík residents’ interests, mbl.is reports. Járngerð board member Erla Ólafsdóttir said the association did not want its name linked to the plan.

Járngerð welcomes the plan’s publication, which allows Grindavík residents to discuss it, Erla said. But the board wanted to make clear that taking part in preparatory work did not mean it approved the final version. It had formally asked for the association not to be associated with the plan, as it felt its views had been given only limited consideration.

Erla said some comments from residents’ representatives had been taken into account, but not on the issues Járngerð considered most important. These included the length of the agreements, the planned end of supporter agreements in late January, monthly payment obligations and the timing of the buybacks.

The association wanted residents to have more time and certainty to review the terms, and for the plan’s implementation to begin no earlier than next spring. Erla said the buybacks should be seen as a project to rebuild the community, not simply as real estate transactions. She said it was important for enough families to feel able to take part from the outset, which could encourage others to return.

Erla also noted that seismic activity had not ended and that buying a home in Grindavík again could pose a significant financial risk to families. She said residents were grateful for the help they had received after the disasters, but had not asked to be in this position and needed time to adapt. “We are not asking to be given anything for free,” she said.

At a large residents’ meeting in Grindavík on Wednesday, Erla again said Járngerð did not want its name associated with the plan. Þórkatla chief executive Örn Viðar Skúlason apologised to the association’s board at the meeting. Erla said the board accepted the apology and did not want a dispute with him. Its members were willing to continue talks if there was a willingness to revise the plan. Erla also criticised the absence of any member of Þórkatla’s board.