The Tribune

• All projects ‘vetted’; gave financing ‘proof’

• US group acquiring ‘stalled’ Roker’s Point

• Millions set for Cave, Hog, Sampson cays

By NEIL HARTNELL

Tribune Business Editor

nhartnell@tribunemedia.net

The deputy prime minister yesterday asserted that the Davis administration has approved $1.2bn in investment projects “for Exuma alone” in the year since it was elected as he touted a variety of resort developments.

Chester Cooper, also minister of tourism, investments and aviation, reassured the Exuma Business Outlook conference that all the projects he cited had been “fully vetted” by the Bahamas Investment Authority (BIA) and had supplied the Government with “proof” they have the financing in place to turn ambitions into reality.

Among the developments listed by the Mr Cooper, the Exuma and Ragged Island MP, as having been approved by the Government were a $550m “mixed-used resort” development for Cave Cay; a $56m “unique zero carbon integrated residential and yacht resort community” on Elizabeth Island; a $170m project on Hog Cay in the Little Exumas; and investments on Little Sampson, Middle Sampson and Big Sampson Cays worth nearly a collective $200m.

And a US investor group, who he did not name, has been approved to acquire the “stalled” 58-acre Roker’s Point Estates project and revive it with an investment that could reach up to $260m.

“In terms of Exuma, we have approved over $1.2bn in new investment since coming to office. That’s right, $1.2bn for Exuma alone,” the deputy prime minister told attendees via a pre-recorded address. “These are projects that have been fully vetted by the Bahamas Investment Authority (BIA) and have proof of financing.”

Mr Cooper, doubtless taking a keen interest in his constituency’s economic growth, was likely seeking to convince Bahamians that the $1.2bn sum is for real. Many throughout The Bahamas have become increasingly sceptical over whether promised foreign direct investment (FDI) projects will actually materialise, given the country’s long history of stalled or failed developments, and only believe something is happening when construction starts in earnest.

“We’ve approved a development and operations of a major resort destination, including an airport, marina and golf course on one of the cays,” Mr Cooper said, adding that this involves a $150m investment although he did not identify the location.

“We’ve approved a US group to acquire Roker’s Point Estates, a 58-acre property that has been stalled. They’re going to ensure a resort and marina development.” This project, the deputy prime minister added, will feature 50 residences tied to some 65 boat slips. “The first phase will being next year, and it will take four years to complete,” he said. “Overall investment is to be more than $260m.”

Moving down his list, Mr Cooper said the Davis administration has “also approved an investor to acquire the remainder of the leasehold interest” in a 155-acre tract on Little Sampson Cay and a further three acres on Middle Sampson Cay. This project will initially focus on “renovation of all existing structures”, which include a restaurant, rental units, bar, houses, a marina and docks.

The second phase, the deputy prime minister added, will see the construction of further resort-related accommodation and amenities via a $30-40m investment. Mr Cooper said Big Sampson Cay will also see a $150m resort and marina project, although he did not indicate if the developments on all three islands were connected or name the developers involved.

“There’s an application to develop even further Little Fowl Cay with a unique high end and environmentally sustainable private island boutique resort for $11m,” the deputy prime minister continued. “On Elizabeth Island, there is a unique zero carbon integrated residential resort and yacht community over 35 acres.”

The latter’s developer, he added, plans to build 28 “low impact”, solar powered residences varying in size from three bedrooms to six bedrooms. “This represents another $56m of investment,” Mr Cooper said, adding that the Government has also approved the $3m development of a boutique resort on Staniel Cay.

Rounding off the Government’s Exuma focus, the deputy prime minister pointed to a $170m project on Hog Cay featuring a hotel, airport, estate lots, marina and spa. And, for Cave Cay, he added that the Davis administration has “approved a significant development of a luxury mixed-use resort” featuring a hotel, marina and golf course involving an investment of “nearly $550m”.

“These are the new projects I can comfortably speak to today,” Mr Cooper said. “There’s more to come for Exuma.” No details were provided on any of the developers/investors behind the projects he named, while specifics on construction/operational starts and timelines were also absent.

Dates can be difficult to pin down because developers, once they get a Heads of Agreement with the Government, then have to go through the process of securing a Hotels Encouragement Act agreement on their tax breaks and incentives plus other underlying agreements. And they also have to obtain the necessary planning and environmental permits, with the latter involving going through the Department of Environmental Planning and Protection (DEPP).

This all takes time. Tribune Business records, meanwhile, identified the developer behind the Hog Cay project as PMR Bahamas, which is promising to create up to 300 full-time jobs - plus several hundred more in the construction phase p via the build-out of an 81-slip marina, 161 residential lots, boutique resort with 40 keys, and an 18-hole golf course.

Research by this newspaper showed that PMR stands for Penske Media Real Estate. And the person heading up its Exuma project appears to be former Chamber of Commerce executive director, and ex-New Providence Development Company head, Philip Simon.

“The key to every project we approve is not just an opportunity for jobs, but business and entrepreneurial opportunities, investment in the community and the integration of Bahamian music, arts and culture,” Mr Cooper explained of the Government’s investment strategy.

Elsewhere, he reiterated the Prime Minister’s pledge that construction work on Exuma International Airport’s redevelopment will resume “this month”. Mr Cooper said the project, on which ground was broken under the Minnis administration just prior to the general election, had come to a standstill due to inadequate funding with the contractor - Woslee - said to be owed some $10m.

The necessary financing was now in place, the deputy prime minister added, and said: “We’re in the final stages of organising funding for a private-public partnership (PPP) to ensure the ongoing development of airside as well as landside works for this world class airport,” Mr Cooper asserted.