The Tribune

By YOURI KEMP

Tribune Business Reporter

ykemp@tribunemedia.net

Grand Bahama businesses yesterday said they were “extremely disappointed” by the renewed uncertainty surrounding the Grand Lucayan's sale given hopes it will act as a catalyst for tourism's revival.

Brent Collins, chief executive of Freeport-based Power Equipment, said: “We were hoping to have some sort of closure on the deal. That would have been good for the island. I know a lot of people that work at the hotel because I used to work there in the IT department.”

He spoke out after Michael Scott QC, chairman of Lucayan Renewal Holdings, the Government-owned vehicle that owns the resort, told Tribune Business he and the Board were “considering a number of options” as it awaits the results of the KPMG probe into the merits of the revised ITM Group/Royal Caribbean deal.

Confirming this newspaper’s exclusive revelations of last week, Mr Scott said he personally views the sale to the duo’s Holistica partnership as “a bad deal” that does not create sufficient immediate benefits for the Bahamian people after the commercial terms were watered down due to COVID-19.

KPMG and its accounting team have been hired to provide an independent opinion on whether this is the case, but the Lucayan chairman said he did “not have any faith in it” as the sale conditions stand now.

Suggesting that his views were shared by other Board members, Mr Scott said he was pushing for KPMG to complete its review within “the next couple of weeks” with the directors now looking at “other viable options” for the Grand Lucayan’s future in case the ITM Group/Royal Caribbean deal fails to materialise.

Mr Collins yesterday said his company is in a “wait and see” over the February re-opening date, adding that he has seen deals happen “overnight" and remains cautiously optimistic.

d’Sean Smith, managing director of Spartan Builders, said: “I can’t say that I agree with Mr Scott’s sentiments on the proposal, to be honest with you. We obviously welcome the hotel being sold. We understand why the Government obviously would have bought it. But I think all parties are looking for the best deal for them, all things considered with COVID-19.”

Mr Smith added that it would be “disheartening news" if the search for a buyer had to start afresh, saying that “everything is affected” by the Grand Lucayan being closed and not just his business primarily.

Suggesting that a February re-opening is “a bit of a stretch", he said: “Obviously we’re going into the holiday season and seeing just how things are progressing on a lot of fronts. I know there's a lot of supply chain delays within the industry, so I think that that would be a challenge, but you know if it could be done by then, it would be great news.”