The Tribune

By YOURI KEMP

Tribune Business Reporter

ykemp@tribunemedia.net

Businesses in Freeport’s Port Lucaya Marketplace yesterday said they are waiting to see if the Grand Lucayan’s re-opening provides any spin-off boost amid expectations its sale will have more impact.

Heather Lewis, general manager of The Copier Ltd, told Tribune Business it was too to determine how the resort’s return will impact her businesses and others in the marketplace.

She said: “They had their soft opening the other day to my understanding, right? So it’s officially the first day. So, no, we haven’t had any spin off from that as yet. I hope this would bring us some much-needed success. Grand Bahama has been depressed for the last 20 years.

“It’s a wait and see. Coming off of Hurricane Dorian, and now dealing with COVID-19, most people are still focused on health issues right now.”

Paul Brown, co-owner of Island Yogurt, was a little more sceptical about the resort’s opening, saying: “I’m not sure how successful it’s going to be. It’s being run by the government. They’re doing what they can just to try and generate some revenues. The ultimate prize is to get Royal Caribbean in and then can get all of the renovations done, and get it operating to full capacity.”

The Royal Caribbean/ITM Group joint venture signed the agreement to purchase the Grand Lucayan for $65m in March 2020, only for the deal’s closing to be disrupted by the pandemic. Dionisio D’Aguilar, minister of tourism and aviation, has frequently said in recent weeks that negotiations are “on the cusp” of being completed, although the deal is likely to look different from the original version.

Multiple sources suggested that Royal Caribbean/ITM have used COVID-19’s impact to water down the terms to the extent where the Grand Lucayan is something of a secondary feature. The joint venture also has to close negotiations with the Hutchison Whampoa-led Freeport Harbour Company over the associated cruise port and water-based adventure park development.

Mr Brown added: “Until this COVID-19 thing is sorted out, I don’t see the impact. I guess they’re just doing what they can to kickstart the economy. But we’re all looking forward to Royal Caribbean because they’re going to develop the whole strip.”

Sidney Pratt, general manager of the Glass Blower Shop, said the Grand Lucayan’s re-opening is “good” and the start of something. But he was careful not to be too optimistic, instead voicing hope within it “creeps back to 30 percent” occupancy within the next few months.

Mr Pratt added that the Grand Lucayan “really hasn’t been doing that much” to drive business towards his store, estimating that 25 percent of his sales came from the hotel’s guests prior to its closure.

“I more depend on the cruise ships first, and the Grand Lucayan second, and then Bahamians,” said Mr Pratt. “It’s a mixture of all types that come into my store, with flights coming in and different hotels on the island.”