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Grand Bahama trying ‘to keep the lights on’

By NEIL HARTNELL

Tribune Business Editor

nhartnell@tribunemedia.net

Grand Bahama’s tourism industry is focused on “trying to keep the lights on” amid the protracted wait for a game changer that will revive the destination, a well-known hotelier said yesterday,

Magnus Alnebeck, Pelican Bay’s general manager, told Tribune Business it will remain “really tough” for the island’s tourism businesses until the fate of ITM Group/Royal Caribbean’s bid to acquire the Grand Lucayan and redevelop Freeport Harbour is resolved.

“In Grand Bahama we have very little airlift and the tourists we have are few and far between,” he said. “There isn’t that much happening to drive demand for the destination. We get these people coming who we consider to be tourists, but when you ask them what made them come to Grand Bahama, they say: ‘Mr grandmother or aunt has a house here, and I want to stay in a hotel rather than with them.

“It’s tourists who come for a particular reason. Let’s put it this way. It is really tough here. Until something happens that starts to drive demand for the destination, there’s very little that’s going to happen. I see very little going on with the Grand Lucayan, and until that situation is resolved it’s going to be to try and keep the lights on.”

Pelican Bay has traditionally fared better due to its corporate market, featuring business travellers and persons on work permits at the likes of the Grand Bahama Shipyard. However, Mr Alnebeck said this segment was difficult to forecast.

“It’s a lot of peaks and valleys,” he explained. “It’s not an easy business to forecast. Some businesses need a lot of rooms some weeks, and the next week need no rooms. That’s often with very little notice.”

And, with many expatriate workers set to head back to their home countries for Christmas, the Pelican Bay chief said the resort will be “happy” with a 15 percent average occupancy rate over the 10-day Christmas/New Year period.

“We’ve had two Christmases after Dorian, and the first Christmas in 2019 was really, really slow; one of the slowest ever here when people associated with the Dorian clean-up and rebuilding left to go home for Christmas,” Mr Alnebeck recalled. 

“Last year was extremely slow as well. This year, basically from next week, will be very slow at Pelican Bay but that is kind of what we expect...... For the Christmas and New Year period, if we hit 15 percent occupancy we will be extremely happy. We’ll be happy if we hit that over those ten days.”

However, he added that Grand Bahama International Airport’s passenger experience had improved significantly since being acquired by the Government from Hutchison Whampoa. “We have a better airport now than we’ve had for the last five years,” Mr Alnebeck said.

“You can now get a bottle of water and sandwich after you go through security. For years you were not able to get that. There’s been an improvement in the product, no question about that. It will be nice to have pre-clearance back and more flights back. Then we will have a problem because of space in the temporary terminal, but that’s a good problem to have.”

Mr Alnebeck said Pelican Bay, which has 80 staff, has brought back all workers who want to return. He bemoaned, though, the difficulty in finding good quality staff given that many have left Grand Bahama in search of work elsewhere. “People that are driven and want to do better have already left,” he said. “It’s difficult to find good staff.”

Comments

TimesUp 2 years, 5 months ago

If you are waiting on the ITM/RCCL deal you will be fighting to keep the lights on for a long time, at least GB power will be happy.

How long would that take? If a real viable deal is made tomorrow and if the company intends to start construction immediately then maybe a realistic 5 years?

The truth is they are way more interested in the port, the hotel is leverage. It may be a viable project for them at some point but the port will come first and the hotel will be mothballed or knocked down until the industry recovers and rebounds.

The government will make the deal sound like the savior of Freeport when it comes but at best it will become a fully contained cruise ship attraction blocked off from the locals, no airfare and no outside spending.

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bones 2 years, 5 months ago

This is tragic, I used to come to GB every Xmas and loved it. The best fishing, beaches, food and people. I miss Our Lucaya the way it was and some of the restaurants we used to go to, like the old Pisces location and the long gone restaurant that was where the new Pisces location is…they had a chicken and asparagus pot pie that I would dream about during the flight down, lol. I feel so bad for the GB residents…I pray this deal gets done already for everyone’s sake.

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