The Tribune

PRIME Minister Philip “Brave” Davis said Royal Caribbean International will break ground on its $110m beach club project on Paradise Island “almost immediately”, telling reporters his administration approved the project in part because tourists need more attractions.

In 2020, while in opposition, it was reported that Mr Davis declared that a PLP government would cancel any lease granted to RCI for Crown land to develop a beach club on the western tip of Paradise Island. The pledge drew criticism from the Minnis administration, which was in power at the time.

However, after the Progressive Liberal Party won the 2021 general election, officials said Mr Davis was seeking a compromise in the Crown land row.

Yesterday, Mr Davis said his administration has ensured that Bahamians have more involvement in the controversial project.

“We approved the project to ensure that Bahamian participation is maximised, that Bahamian opportunities are maximised,” Mr Davis said on the sidelines of an event. “From the timeline that was given they intend to start breaking ground almost immediately. Hopefully it will be started because part of the challenges that we have in the country today is what we call attractions for tourism.

“Very often on any given day, we could have up to 30,000 tourists in our port and there has to be attractions for them. This will be one of the other attractions that will be available to them and so that is very welcome news for us... and there will be opportunities for Bahamians,” Mr Davis said.

On Tuesday night, Chester Cooper, Deputy Prime Minister who also has responsibility for tourism, investments and aviation, said in a statement that the Davis administration believes it has resolved all “previous objections” to RCI’s plans by ensuring more Bahamian involvement “at all phases” of its construction and operation.

Stating that specific activities at the Royal Beach Club, including water sports, entertainment and food and beverage, will be reserved for local businesses and entrepreneurs, he pledged that Bahamians will also be able to invest in the project and collectively take a 49 percent equity ownership stake. This would leave Royal Caribbean owning the majority interest.

As for the Crown land being leased to RCI, Mr Cooper said the government planned to also convert this asset into an ownership stake in the development that would be held by the country’s sovereign wealth fund, now known as the National Investment Fund.

According to Mr Cooper, “the project will cover 17 acres – of which 13 acres represent privately held land and some four acres of Crown land that was included in the lease to RCI by the former administration.”

After news broke about the approval, former Prime Minister Dr Hubert Minnis questioned if Grand Bahama is included in the deal.

While speaking at a Garden Hills Constituency Association meeting on Tuesday, Dr Minnis said a part of the agreement on the table when he was prime minister was that Grand Bahama had to be included.

“A part of that agreement was Grand Bahama had to be included,” Dr Minnis said. “The hotel in Grand Bahama had to be a part of it so that the Grand Bahamians can benefit. That was the approval.

“Grand Bahama, you cannot allow the PLP to leave you out. You were part of it. You are a part of The Bahamas and as I sat in that meeting, not only to be signed, but we shook hands and there was an agreement that Grand Bahama, they understood that they could not receive the property, there’s been no agreement unless Grand Bahama was a part of it.

“I saw nothing in such a press release. So Grand Bahama, you must ask them where have you gone? Why are you not a part of it? Grand Bahama as a part of this country, this Bahamas, and when individuals see great benefit for themselves we are not Nassau-centric. If there’s an opportunity to include other islands, then we must take advantage of such an opportunity,” Dr Minnis said.

 Both the cruise line and the government had been embroiled in a long-running battle, including in the Supreme Court, with Bahamian entrepreneur Toby Smith who has asserted he has a binding lease for at least two Crown land acres that Royal Caribbean is seeking to use in its project.

 However, on February 16, Chief Justice Sir Ian Winder rejected the entrepreneur’s claim that his lease agreement is valid.

 In his statement on Tuesday, Mr Cooper said, “It is important to note that the land currently proposed under the project has not been subject to any dispute or litigation.”