The Tribune

By NEIL HARTNELL

Tribune Business Editor

nhartnell@tribunemedia.net

THE Balmoral Club’s president yesterday hailed the planning appeals Board’s decision to overturn rejection of its $25m condo hotel as “a win-win” for both developer and the community.

Dwayne Mortimer told Tribune Business that the reversal of the Town Planning Committee’s initial verdict was akin to an early Christmas present as he pledged that the Club will reapply for the required approvals “in the first full week of the New Year”. He added that the project, when completed, will help to support between 75-100 full-time Bahamian jobs at the Club.

The Subdivision and Development Appeal Board, in a December 19, 2024, verdict found that the Town Planning Committee’s decision to reject the eight-storey, 50-unit condo hotel “lacks the requisite reasoning” given that it had previously approved a smaller-scale version of the development at the same location.

The Committee, in its original late 2023 decision, rejected the Balmoral Club’s expansion plan because it was “incompatible” with land use and development trends in the gated Sanford Drive community. However, the Board, chaired by attorney Dawson Malone, suggested it did not make sense for the Committee to have earlier approved the same type of land use only to them turn around and use it as the basis for rejection.

“The Board finds it difficult to accept that the decision - being the Town Planning Committee refusal - should be upheld,” it said in its verdict. “The refusal lacks the requisite reasoning which, while not legally mandated, the Board finds that such reasoning was required when the previous approval for the same type of land use was granted.

“The absence of reasons in these circumstances renders the decision unsustainable given the basis if the refusal. In light of this, the refusal is set aside and the matter is referred back to the Town Planning Committee for rehearing should the appellants wish to reapply.”

Mr Mortimer, while unsure why the Appeals Board has referred the condo hotel project back to Town Planning, confirmed to Tribune Business that the Club will quickly reapply for the relevant site plan and other planning permissions necessary to advance the development.

The Appeals Board also upheld the original February 22, 2022, decision by the Town Planning Committee to grant approval for the smaller-scale condo hotel at the same location. It did so on the basis that the law requires all planning appeals to be lodged within 21 days and, since the Balmoral homeowners association missed this deadline, it now has no jurisdiction to hear the action.

Mr Mortimer, who pointed out that February 2025 will mark three years since that initial site plan approval was granted, not surprisingly agreed with the Appeals Board that it did “not make sense” for Town Planning to have approved the land use originally only to them turn around and reject it - for the same purpose and at the same site - following objections by some of Balmoral’s homeowners.

Responding to some of those concerns, the Balmoral Club president said the level of investment, number of rooms and room rates that will be charged showed the condo hotel is targeted specifically at high-end clients and there will be no ‘free for all’ in terms of who has access to the gated western New Providence community that is located in close proximity to the US ambassador’s residence.

“We intend to put up a five-star hotel with room rates at $400 to $500 per night,” Mr Mortimer told Tribune Business. “This really serves to enhance and upgrade the community. I would have, during the appeal process, made reference to a number of gated communities in The Bahamas where the model [boutique hotel in a gated community] works well.

“I’m not sure if they [homeowners] thought it through properly. The majority of units here are town homes with two bedrooms, with some having three bedrooms. How convenient will that [condo hotel] be when they have guests in town? It’s a boutique hotel and we already have a lot of amenities in place.

“I think the ruling is a win-win for the Club and a win-win for the community,” Mr Mortimer added. “Some may not see it at the moment, but we are going to hit the ground running, and when we finish it they’ll approve. Yes, we are going to resubmit our application and I’m hopeful that will be approved and done expeditiously.

“From our side it’s just a matter of resubmission and, to make sure our paperwork does not get lost in the holiday, in the first full week of the New Year we expect to have the application in. When it’s coupled with the additions to our restaurants, the addition of a spa and expansion of the gym, believe it or not it’s not large in the scheme of things but it’s going to create between 75-100 high-quality jobs.”

Suggesting that the Balmoral Club may revert to the original, slightly smaller-scale condo hotel project if it encounters further planning approval challenges, Mr Mortimer added: “If you think about it, $25m for a $50m condo hotel, that tells you what the cost per key is right there......

“Three to four months ago, the deputy prime minister and minister of tourism [Chester Cooper] made the pronouncement that, over the next ten years, The Bahamas needs 15,000 more hotel rooms. I would hate to see those rooms all roll into massive hotels. It’s time that Bahamians start to own part of the tourism pie. This is one step, not the first step, in that direction and I definitely hope it’s not the last.”

The Balmoral Club chief added that the presence of hotel guests within the community will require its security to be beefed up with a full-time guard presence on the grounds. He added that, as investors in both the Club and other properties in the community, it would make no sense for himself and his group to undermine their holdings by reckless development.

“The peace and tranquility that they enjoy today,” Mr Mortimer said of Balmoral homeowners, “that is going to be one of the primary selling points; that peace and tranquility at the heart of Nassau at the Balmoral hotel.

“We will be reasonable. We are mindful these are people’s lives and livelihoods which they have worked hard for. We are mindful of that. Our group has a number of properties; our group is the biggest investor in the Balmoral community. As I said before, and as I say to you, we are not going to do anything that negatively impacts our existing investment.

“We’re going to do this special. We are a Bahamian-owned and operated club. We will contract with one of the large Bahamian contractors for sure. There are ways to contract others, but this is a bit more than the bottom line. This is a statement for The Bahamas and a statement about Bahamians.”