The Tribune

By NEIL HARTNELL

Tribune Business Editor

nhartnell@tribunemedia.net

A Cabinet Minister yesterday told Tribune Business he had informed investors pitching a $500m Long Island project to “come back and see me when you have a Heads of Agreement”.

Desmond Bannister, minister of works, told Tribune Business he knew nothing about efforts to revive the Port St George development, which has been stalled for almost a decade, and did not discuss with the investors/developers whether they had started the process of applying for the necessary investment and planning approvals.

He confirmed that he met with senior executives from Star Resort Group, the US-based developer, marketer and vendor of resort-based real estate that is leading the project, but said it was more a “courtesy call” that was also attended by Long Island MP, Adrian Gibson.

“I don’t know anything about the development,” Mr Bannister told Tribune Business. “They don’t have a Heads of Agreement, so it was only a courtesy call. I was just meeting with them at the request of my colleague [Mr Gibson].

“When they get a Heads of Agreement in place, and do what they have to do, I’ll be happy to speak with them formally. I told them: Come back and see me once you have a Heads of Agreement.”

Asked whether the developers had given any indication as to whether they had begun seeking the necessary approvals, Mr Bannister replied: “I didn’t go through that with them. That’s something they have to come back and formally provide us with once they start the process.”

Mr Gibson, though, yesterday issued a much more upbeat What’s App message to his constituents on both the meeting and the development, disclosing that work on the project site adjacent to the Stella Maris resort is scheduled to begin late in the 2019 first quarter.

“Today, minister of public works, Desmond Bannister, and I met with the developers - Duane Gerenser (president, Star Resorts Group); James Moss (principal and Board member); and Sean Callender (attorney)-- of the proposed Port St George resort project,” Mr Gibson wrote.

“In sharing their plans for the upcoming mixed-use resort (hotel rooms, luxury condos/villas), the developers spoke of their intent to embark upon a socially and environmentally sustainable project.

“We were advised that as the project gets underway, persons will be employed from the immediate locality (Long Islanders first), the wider Bahamas and, in instances where additional expertise is needed, internationally.”

Mr Gibson continued: “We were informed that initial works are projected to commence in the latter part of the first quarter of 2019. They stated that first phase of construction will see the dredging and development of the harbour/marina (640 slips); construction of 60 units; and the build-out of a soccer field, baseball/softball field, tennis court, a cricket pitch, the 18-hole golf course/golf club and a track. The developers further advised that, given the scope of the project, final completion would take four to five years.

“The developers shared their plans to re-route the Queens Highway; incorporation of alternative energy sources in their operations; construction of a Customs house, fire station, small medical facility, fuelling docks, a culinary institute......

“Moreover, they expressed a willingness to incorporate Bahamian/local entrepreneurs in their final project as well as the local community. Like many Long Islanders, we remain hopeful that such a project - which will no doubt improve and contribute positively to the state of affairs on Long Island - comes to fruition.”

When the Port St George project was unveiled in 2008, it was touted as creating over 300 jobs on a 951.4-acre site in northern Long Island. It featured plans for a boutique hotel with 146 suites/villas; 60 boutique villas; more than 300 residential lots and 331 multi-family lots; and marinas with numerous boat slips; plus golf courses, a town centre and other resort/community amenities.

The project was projected to have an annual economic impact of between $54m to $90m, and at the time the developers had also signed a 25-year management agreement with Langham Hotels International. Some 875 construction workers were forecast to be employed over the build-out phase.

Port St George, though, became a casualty of the 2008-2009 “credit crunch” and subsequent global recession, which dried up all potential sources of funding. In 2014 the original developers, Ian Moorcroft and his business partner, Jon Houghton, were said to be hunting for a joint venture partner to move the proposed $110m development forward.

Nothing was heard subsequently until Star Resort Group issued a press release several months ago detailing its efforts to revive Port St George. Clairfield International, which advertises itself as “mid-market” mergers and acquisitions specialist working on transactions up to 500 million euros in value, was said to have “arranged funding”.