Published On:Wednesday, September 01, 2010

By NEIL HARTNELL

Tribune Business Editor

A proposed $250 million resort project long earmarked for Grand Bahama has been revived, Tribune Business has been informed, with the developers in the throes of concluding their Environmental Impact Assessment (EIA) and working through the various government and Grand Bahama Port Authority (GBPA) approvals processes.

Tribune Business's contacts have revealed that the high-end hotel and residential development proposed by London-based property developer, the Raven Group, is back on track and moving forward, having been delayed by both the recession/credit crunch and uncertainty created by the GBPA ownership dispute.

"They're trying, I believe, to do their Environmental Impact Assessment," one well-placed source told Tribune Business yesterday, on condition of anonymity. "They're working through their government approvals, and concluding part of their arrangements with the Grand Bahama Development Company (Devco)."

Another contact confirmed that progress was being made in bringing the Raven Group proposal to fruition, telling Tribune Business: "It's all looking positive."

When contacted by this newspaper yesterday, Graham Torode, Devco's president and chief executive, said it was "premature" for him to comment on the Raven Group project, referring Tribune Business to the developers themselves, since it was their project. A telephone call placed to the Raven Group's head office overseas was not returned.

It is unclear what form the Raven Group project will take, and whether it has been revised since Tribune Business first revealed its existence in 2006-2007. This newspaper confirmed that the high-end, luxury boutique resort chain, Aman Resorts, had then been lined up as the resort's operating/brand partner, although it is unclear whether this is the case.

While no deal is done until it is done, the fact that the Raven Group is still looking at Grand Bahama and Freeport as the site for its project will come as a boost to the island and its beleaguered economy, which is sorely in need of a leg-up, especially in the hotel/tourism sector. It will also give the Bahamas as a whole some encouragement in the foreign direct investment field.

While the recession and changing customer demographics/tastes could influence the Raven Group project, back in 2007 it was proposed as a $250 million investment that could create 700 construction jobs and 750 permanent posts.

In an affidavit filed as part of the now-settled GBPA ownership dispute, Rick Hayward, Sir Jack's son, said the Raven Group was "currently negotiating a high-end hotel and residential development in the Freeport area..."

It had been proposed for a 1,500-acre site, and was set to take place in four phases, Mr Hayward alleged back in 2007. At that time, though, he warned that Raven Group executives had expressed concern over the GBPA ownership dispute and receivership, indicating they would reconsider their investment and project because of the associated uncertainty and confidence loss.

That obstacle has now been removed, but at the time Mr Hayward said: "The Raven Group has advised that it is considering proceeding with options outside of Grand Bahama if further delays are occasioned because of the dispute and the consequent receivership.

"The expected cost to Port Group Ltd and its subsidiary, Devco, if the Raven Group proposal failed to proceed would be in excess of $100 million......":