The Tribune

By Fay Simmons

Tribune Business Reporter

jsimmons@tribunemedia.net

Royal Caribbean says it wants to amend its existing Crown Land lease for Paradise Island as soon as possible to both reflect its reduced footprint and eliminate any possibility of conflict with a Bahamian investor.

Jay Schneider,the cruise giant's chief product innovation officer, said Royal Caribbean has already submitted the request and necessary documents to reduce its existing - and approved - Crown Land lease for the original seven acres to now just four. He expressed hope that the lease revision will be executed swiftly as it is in both Royal Caribbean and the Government’s "best interest".

His comments came as Toby Smith, the Bahamian developer seeking to restore Paradise Island's lighthouse and develop his own beach beach/excursion destination in close proximity to Royal Caribbean, queried whether any discussions over or adjustments to that lease could be considered 'contempt of court' given his ongoing litigation in the Supreme Court.

Mr Smith is alleging that three acres in that seven-acre Royal Caribbean Crown Land lease were, in fact, already leased to him by the former Minnis administration which he asserts 'double dealt' that same parcel to two different developers. However, the Supreme Court rejected his assertion that he possesses a valid and legally binding Crown Land lease - a ruling his he now appealing.

Royal Caribbean ultimately elected to reduce the size of the Crown Land parcel it requires for its Royal Beach Club in a bid to extricate itself from conflict with Mr Smith and his litigation, but is presently still working from the initial seven-acre lease.

Asked how rapidly he wants that to be adjusted, Mr Schneider replied: “As soon as humanly possible, it'd be great. We've submitted what was requested of us as part of the approval with the NEC (National Economic Council) to the Government. They have to have time to go through their diligence to make sure that it meets the standards and requirements that we're asking to amend.

“And then, you know, we'll go through the process to agree to that. And hopefully it'll get executed, you know, expeditiously. It's in our interest and it's in the Government's interest to do that. And they've been great partners on this. They received our updated information and they've got to go through their process.”

Confirming that the reduced lease footprint was in response to Mr Smith's litigation, he said: “We have a duly executed and registered lease for our seven acres of Crown Land. It was issued on May 25, 2021. As part of the agreement with the Government that was approved by the NEC, or approved in principle, we agreed to amend that lease to shrink the footprint to four acres which would make us free and clear of any overlap with the legal proceedings that Toby is moving through.

“Part of the reason to shrink the footprint was to be free and clear of any legal dispute Toby has, or has had, with us or perceived to have had with us or previous governments with relation to that land. So that was kind of the impetus, if you want to think of it that way, for us to reduce to four acres. So hopefully we'll reach terms of the amendment shortly and we'll be able to make the amended lease public as soon as it's available.”

Mr Smith, though, speaking after Thursday night's public consultation on Royal Caribbean's project, said: "They want to call it Royal Caribbean Crown Land before they even had a Crown Land lease and they're referring to it as a Royal Caribbean Crown Land lease.

"The issue is that the lease that was given to me for the beach parcel was three acres. The lease given to Royal Caribbean was for seven acres. Three of the seven acres are contained within my project and that is within litigation. For Royal Caribbean to be negotiating the original lease, which was for seven acres when it involves three of the acres that was promised to me by ex-prime minister Minnis. I don't understand and the lawyers will have to determine as well as the court .. Why are they negotiating a lease when this is before the court?”

“So, if they were to have a new lease for four acres of Crown land, that would be a different story to still uttering a contract of seven acres that they're planning on amending.” Mr Smith added that he was not satisfied with the outcome of the public consultation and noted that the decision to build on the northern side of the beach was not stated at the first meeting in 2021.

He said: “No, absolutely not. I mean, the first time the public consultation matter was raised, they'd say things such as they're not going to do any upland development on the north side of the beach, and I've got plans right here that are done by Royal Caribbean that show that there was development planned.”