The Tribune

By NEIL HARTNELL

Tribune Business Editor

nhartnell@tribunemedia.net

A senior Carnival executive yesterday said the cruise giant plans to “spruce up” Princess Cay, adding that the Eleuthera-based private island needs “quite a bit of love”.

Juan Fernandez, Carnival’s vice-president of operations strategy, told the Eleuthera Business Outlook conference that the destination had “been the way it is” for a a long time and needs to be enhanced with new experiences and attractions for its cruise passengers.

“I think Princess Cay needs quite a bit of love,” he added. “It’s been the way it is for quite some time. We’re working on a plan to spruce it up, making it more exciting for guests to come back to.” And the cruise giant is also investing heavily at Half Moon Cay, its other existing Bahamian private island, including the construction of a pier to eliminate what has been the greatest complaint from its guests.

Mr Fernandez said the pier will be “a game changer” that will allow Carnival and its various cruise line brands to dock their largest class of XL ships, thereby ending the hated “tendering” where passengers have to be barged or ferried to shore from vessels that anchor offshore.

He revealed that Carnival by next year plans to expand the number of passengers calling at its two existing private island Bahamian destinations - Half Moon Cay and Princess Cay - by 50 percent compared to pre-COVID figures, taking this number from one million in 2019 to 1.5m in 2024.

This figure will increase to three million once the cruise line’s Grand Port investment in Grand Bahama becomes operational, with Mr Fernandez describing the $200m project as taking Carnival’s involvement in The Bahamas “to another level”. He added that it will still bring two million passengers per annum to Nassau, Freeport and Bimini.

Pointing out that 95 percent of Carnival’s existing 250 private island staff are Bahamian, Mr Fernandez said it will need another 100 workers for Half Moon Cay but admitted that the “talent pipeline” is tight. He also noted that there is a shortage of affordable Family Island housing for the cruise line’s staff.

Meanwhile, Daniel Zuleta, project director for Cotton Bay Holdings, said the developer plans to start construction on two roads - to be named Cotton Bay Road and Cocoplum Drive - within the next three months after obtaining all the necessary approvals.

Construction is forecast to take six months, but works on the main $200m development will “peak” in the 2024 second quarter with a finishing date for the Ritz-Carlton Reserve-branded project estimated at year-end 2025. Mr Zuleta said some $2m worth of work has already been awarded to local Bahamian contractors including Meadows Construction, Nu View Construction, Quick Fix Construction and SDC Construction.

The construction phase at Cotton Bay Holdings is projected to employ 300 workers with an annual wage bill of $8m, while full-time staff will number 200 with a $10m annual wage bill. Cotton Bay Holdings is headed by Colombian billionaire, Dr Luis Carlos Sarmiento.

Mr Zuleta said previously that the Cotton Bay Ritz- Carlton Reserve will be one of only five such resorts globally. He added: “The Cotton Bay Ritz-Carlton Reserve will span approximately 220 acres of the 400-acre property currently owned by the developer. The remainder of the property is reserved for a future developmental phase, yet to be planned.

“Cotton Bay Ritz-Carlton Reserve is planned as an open-air luxury resort to feature 90 guest rooms and 60 Ritz-Carlton Reserve branded residences, designed to include a mixture of two to five-bedroom villas. In addition to first-class luxury amenities and services, a signature 18-hole championship golf course, a luxurious spa, swimming pools and signature restaurants are planned for the island retreat.”

Meanwhile, Tribune Business previously revealed that the $80m expansion of Half Moon Cay will create 200 construction jobs, and an extra 80 full-time posts, through growing annual visitor arrivals by 48 percent compared to pre-COVID volumes.

The Environmental Impact Assessment (EIA) conducted for Carnival Cruise Lines and its HAL (Holland America) Properties subsidiary, released ahead of public consultation on the project, revealed plans to bring close to 1m passengers per annum to Half Moon Cay by 2025.

The increase from 640,000 passengers in 2019, the last pre-COVID year, is billed as expanding full-time employment at Half Moon Cay by 55 percent to 225 posts. While some will have reservations about expanding a cruise line’s private island, amid suspicions that the industry - rather than The Bahamas and Bahamians - will maximise the economic benefits, the deal was agreed by the former Minnis administration.

The EIA, which refers to a September 28, 2019, Heads of Agreement with the Government that has never before been publicly disclosed, says Carnival/Holland plan to construct a pier capable of handling their largest 6,500 passenger ships, the XL or Excellence Class.

“Half Moon Cay is a destination formerly known as Little San Salvador,” the EIA, performed by Bahamian firm, Islands By Design, and Applied Technology and Management (ATM), said. “A Heads of Agreement was entered with the Government of The Bahamas to undertake an $80m development of the private island.

“The additional development will add a main open pile supported pier; an excursion dock which will be used by local vendors to sell their waterborne shore excursions; and new amenities to enhance the guest experience. The intent is to create more beach offerings, food and beverage options and additional recreational activities. The island currently offers luxury beachside cabanas, a nature trail, bird watching, and an opportunity to swim and pet tame stingrays.

Noting that Half Moon Cay is located midway between Bannerman Town, south Eleuthera, and Arthur’s Town, north Cat Island, the EIA said Eleuthera residents will likely be the main beneficiaries of the extra jobs created. “Half Moon Cay currently employees 145 line staff, mostly residents of the neighbouring island of Eleuthera,” it added.

“The expansion project expects to require approximately 200 hires during the construction phase, and increase in daily labour by approximately 80 employees post-construction to sustain the increased operations of the destination. Most of this labour will be supplied by Eleuthera. With the national unemployment rate at 9.5 percent, this level of increased permanent jobs is not expected to have an impact on the population density of the neighbouring islands, only reduce unemployment.”