The Tribune

• Initial plans called for southern shore skyscrapers

• Principals meet with PM, DPM to gain momentum

• Attorney says ‘4-plus months’ from seeking permits 

By NEIL HARTNELL

Tribune Business Editor

nhartnell@tribunemedia.net

A “mega project” targeted for Coral Harbour “has been scaled back significantly” with an up-to-$300m investment targeted for its initial development phase, its Bahamian attorney said yesterday.

Valentine Grimes told Tribune Business that Coral Harbour Development’s principals have much reduced their ambitions from an initial plan which, based on architects’ drawings seen by this newspaper, appeared to call for skyscrapers and multiple high-rise buildings to be constructed on a 1,000-acre site on New Providence’s southern shores.

The renderings, which can be viewed on the Winstanley Architects and Planners’ website, were part of what was billed as a “15 project master plan” that called for the construction of some six hotels, four marinas, two golf courses and no less than 3,500 condominiums in a development that would have dwarfed both Atlantis and Baha Mar in scale and size.

The Coral Harbour Development project has been on the drawing board since 2014, according to its principals’ social media pages, and Tribune Business had been aware of its existence for several years. However, multiple sources have voiced great scepticism that it will ever receive the necessary government approvals or financial backing to become reality, with several suggesting that a significant portion of the site is wetlands that will need to be drained.

Yet the project’s principals were shown in official government releases as having met with both Prime Minister Philip Davis QC and his deputy prime minister, Chester Cooper, in recent weeks which suggests that it has started to gain some traction and momentum with the new administration.

Mr Cooper yesterday declined to provide details on his meeting with Coral Harbour Development, only saying: “The Davis/Cooper administration is pro-investment, and while I’m not at liberty to discuss meetings held with private developers, I can tell you that we want orderly development in our country. 

“We have announced to the world we are open for business, and the investment community and individuals around the world have responded positively. We know that we’ve attracted more than $1bn in the first five months of being in office. This trend is continuing, and there’s a significant level of interest in The Bahamas - not just for tourism development but other projects as well.

“We’re seeing some in renewable energy, sports and in other areas as well. We are very optimistic about what we are seeing, and are going to commit to managing these projects and approvals in the best interests of the Bahamian people. We’ve reformed the National Economic Council (NEC) to consider projects faster, and expect to continue in this light.”

Coral Harbour Development’s Lebanese president and chief executive, Aboudi Debs, is the nephew of the late George Jabbour, the owner of much of the project’s targeted real estate. Mr Debs, on his Linkedin page, describes himself as principal of Bahamas Leisure & Resorts, the company created to develop the project.

Touting his ambitions, the posting states: “Bahamas Leisure & Resorts is the owner of the Coral Harbour Development, the biggest privately-owned piece of land in Nassau, New Providence, and one of the most exciting projects in the Caribbean.

“Developing more than 900 acres with an exceptional six kilometres of sea frontage featuring 700-plus boats in marinas, hotels, casino, villa estates, condos, five-star hospital centre and rehabilitation complex, 18-hole champion golf course, business and banking centre, marine reserve, underwater park, amusement park and many other amenities.” Some of the drawings on the Winstanley website bear a close resemblance to the one presented to Mr Cooper.

Mr Grimes, though, said these plans and ambitions have undergone a significant revision. He also revealed that Coral Harbour Development is still some months away from making a formal submission to the Government’s Bahamas Investment Authority (BIA) and other regulatory agencies, indicating none of the necessary permits and approvals have been granted yet.

While not providing any figures on the number of construction and full-time jobs that would be created, Mr Grimes said the “phase one, stage one” plans would likely result in a $280m-$300m investment. Asked whether the principals can attract the necessary financing, he responded that “they have” and can raise additional funding if necessary although no specifics were given.

“The answer is yes: The plans have changed significantly,” Mr Grimes said in response to Tribune Business questioning. “You would have been aware that project came out when Baha Mar underwent its Chapter 11 exercise. The same say they presented the proposal to the Government of The Bahamas was the same day Baha Mar went into Chapter 11. The country was not ready for another mega project which was contemplated for that property.”

With the COVID-19 pandemic further delaying his clients’ plans, he added that they recently “took the opportunity” to meet with both the Prime Minister and Mr Cooper to present their revised plans and detail their intentions.

“That mega project has been scaled back significantly,” Mr Grimes reiterated. “What they presented to the Government of The Bahamas was their intent to introduce phase one, stage one, which is a much smaller, well defined project.” He described this as the “aquatel peninsula” which will be located “on the eastern side of Coral Harbour Road”.

“They think the time is right, the world having come out of COVID-19, for that to be accomplished at this particular stage,” Mr Grimes said. “It will be a combination of small, luxury hotels, residences, villas and marinas on a much smaller scale than originally contemplated. There will only be around 100 marina slips. It will be a much more scaled down project developed over a period of time. The initial investment will be $280m-$300m.”

Asked about the status of the project’s government approvals, Mr Grimes replied: “We’re not close to that. They [the principals] were only down here to finalise plans for preliminary drawings. They were here to meet with planners, and begin the process of engaging local consultants, architects, environmentalists etc, etc.

“They’re in the very preliminary stages of finalising plans so an application can be made as such in short order. It takes time to finalise plans, then you have to get approvals and then begin putting shovels in the ground. They’d not be submitting an application probably for another four-plus months.”

Mr Grimes also hit out at social media postings suggesting Coral Harbour Development will break ground this month, adding: “We don’t know where that information is coming from. That’s nonsense. Whoever’s doing that is being reckless and dangerous to do so. Myself and my clients have nothing to do with it.”

With the company’s principals having reaffirmed their confidence in The Bahamas to the Prime Minister, and belief “this is the time to get going”, Mr Grimes said of the project financing: “Funding a $300m project is a totally different ball game from financing a multi-billion mega resort. They have, and would raise, any additional financing they need.”

Winstanley, in its description of the project, said: Coral Harbour is located on the southern shore of New Providence. The master plan outlines a mix of uses and complimentary programmes that work as a unified whole.  While the master plan envisions a complete project for the entire 1,000 acres, the project is broken down into individual components that can be developed independently.

“There are a total of 15 projects in the entire master plan. Those projects include six hotels, class A and class B office space, four marinas, two golf courses, over 3,500 condominiums, single family lots and estates, as well as retail and rental apartments.

“Special attention was given the waterfront aspect of this development. The project has over two miles of continuous shoreline and dredging will be required for access to some of the new marinas. A project of this size must be phased over an extended timeframe and our master plan provides the developer with the ability to incrementally construct the necessary infrastructure to support the new development.”

Besides Mr Debs, Coral Harbour Development’s executives include Farid Abou Fadel, its principal/senior vice-president, and Voldemaras Kanchas, Coral Harbour Development project manager. The latter is also president and chief executive, and a Board member, at the Virginia-based International Development Corporation, a project developer and financier.