The Tribune

By NEIL HARTNELL

Tribune Business Editor

nhartnell@tribunemedia.net

THE Grand Bahama Chamber of Commerce's president yesterday expressed concern that further Freeport businesses may close following the Prime Minister's more downbeat appraisal on the Grand Lucayan sale.

Mick Holding told Tribune Business he was surprised to hear Dr Hubert Minnis tell the nation that the sale of Freeport's 'anchor resort' property was "far from completed", given that the Prime Minister had indicated that the Wynn Group purchase would close by end-February 2018 barely a month earlier.

Dr Minnis, in his televised address, only said the Grand Lucayan's sale would close "this year", and Mr Holding was fearful that the absence of a better-defined timetable could cause some businesses - especially those in the Port Lucaya Marketplace and the surrounding area - to lose hope.

Pointing out that there were still 11 months to go in the year, the GB Chamber chief said the sale and re-opening of the Grand Lucayan held more importance for Grand Bahama's economy than the $2.56 billion revival of the former Ginn project at West End that was much touted by the Prime Minister. Mr Holding, though, quickly acknowledged that west Grand Bahama "badly needed" renewed investment activity, and said residents there would argue that developing the ex-Ginn sur mer site was more important than the Grand Lucayan.

Arguing that the Bahamas, and Grand Bahama, should "aim for both" projects to get going, Mr Holding said each was critical to reviving the island's economy and reducing the unemployment rate.

"I think that probably, but I doubt it will come first, the Grand Lucayan will have a greater impact on the general economy of Grand Bahama," he told Tribune Business.

"There are a lot of businesses hanging in there, just waiting for the hotel to re-open, and if something doesn't happen quite soon some of those businesses will go under."

Mr Holding added: "It's not just the jobs in the hotel; there's a whole infrastructure around there; restaurants, bars and retail, that depended on the hotel for their trade. Many have closed, others are hanging on, but may also close down."

Admitting that he was taken aback by the Prime Minister's more downbeat assessment, he told Tribune Business: "Before Christmas I think the statement was January/February 2018.

"This year has got 11 months to run, and that's quite a difference between January and February. I was a little bit surprised, I must admit. I think some of them [Port Lucaya area businesses] will hang on if there's something positive; they'll think: 'At least there's a lifeline there'.

"I think what's going to happen, as things get tight or tighter and there's still no deadline, some of them may go under I'm afraid. That's my concern."

Dr Minnis, in his national address, switched quickly from the Grand Lucayan to the potential acquisition of the former Ginn project by Toronto-based investor/developer, Skyline Investments, and its Grand Palm Beach Acquisitions vehicle.

Mr Holding described the purchase, if it closes, as only "positive" for West End and the wider Grand Bahama economy in terms of job creation and increased economic activity.

"It's going to create permanent jobs out there, not only in West End, which badly needs employment and regeneration, but also the rest of Grand Bahama," he told Tribune Business.

"That community [West End] has suffered enormously for many years, and was badly beaten up in Hurricane Matthew. This will certainly help the economy out there."

Mr Holding also expressed hope that Skyline would invest as heavily in the West End community as Ginn has done.

Skyline Investments, which is listed on the Tel Aviv Stock Exchange, describes itself on its website as having $500 million in assets. It specialises in real estate investment and development related to the hotel/resort industry.

It describes itself as "sourcing new acquisition opportunities to grow and diversify its cash flow in North America", with an emphasis on geographical diversification.

Current properties include the Hyatt Regency at The Arcade in Cleveland; the Renaissance Cleveland Hotel; Bear Valley Ski Resort in California, plus a variety of mixed-use resort developments throughout Canada.

Dr Minnis, unveiling the group's plans, said: "Grand Beach Acquisitions will construct, repair, revitalise, develop and operate 246 rooms in three hotels; a banquet facility; 116 branded hotel residences; 1,000 other residences; a hotel/casino site; approximately 150,000 square feet of shops and restaurants; a spa and wellness retreat; two marinas; an 18-hole golf course including driving range; an IFR-rated airport; a resort hospitality training academy; and an organic farm.

"Grand Palm Beach Acquisitions intends to repair, revitalise and develop the property, to be known as 'Bahama Bay', in nine phases over a 10-year period with a projected expenditure of $2.56 billion."