The Tribune

By Annelia Nixon

Tribune Business Reporter

anixon@tribunemedia.net

The Grand Lucayan’s purchaser is expected to receive the necessary permits and approvals to proceed with construction activities during the 2026 first quarter, it was revealed yesterday.

Concord Wilshire is expected to receive construction approval for the Grand Lucayan in the first quarter of 2026 and a second pier is will be completed next year which will accommodate more XL class ships for Carnival’s Celebration Key and welcome a projected 4 million guests annually to Grand Bahama by 2028.

Jillian Williams, the Grand Bahama Island Promotion Board’s (GBIPB) brand representative, told the Bahamas Hotel and Tourism Association's (BHTA) 73rd annual general meeting that the island “is on a clear upward trajectory” due to to major investment projects impacting the cruise sector, airlift and room inventory diversification.

Focusing on the Grand Lucayan, she added that US-based investor, Concord Wilshire, is “eager to begin construction” and that, based on government communications, necessary approvals and the start of construction is expected in early 2026.

“Government communication indicates that Concord Wilshire is expected to receive approval to begin construction in the first quarter of 2026,” Ms Williams said. “The redevelopment is anticipated to significantly enhance the island's room inventory, with refurbishment projected to begin in the same period.”

Tribune Business sources, speaking on condition of anonymity, suggested that the developer is hoping to take possession of the Grand Lucayan from the Government imminently. The property is presently closed to paying guests, and the handover has taken longer than anticipated due to ongoing negotiations with the Davis administration to resolve elements of the deal deemed critical to Concord Wilshire and its partners.

This newspaper understands that there has been some reluctance by the Government to grant all the tax breaks and other investment incentives that the developer is seeking. Concord Wilshire is thought to be arguing that it needs significant concessions given that it is trying to revive a stopover tourism market that sources say is “100 percent dead”, but the Government’s concern is understood to be that it would have to give the same tax breaks to other major investors such as Atlantis and Baha Mar, which have ‘most favoured nation’ clauses in their own Heads of Agreement that state they are to be treated no less favourably than other resort investors.

Ms Williams, meanwhile, said a second pier will be completed next year to accommodate more of Carnival’s larger XL class ships at the $600m Celebration Key project, which will welcome a projected four million guests annually to Grand Bahama by 2028.

Carnival’s Celebration Key, which opened in July, has been cited as one of the key reasons foot traffic has slowed dramatically for Grand Bahama businesses outside the private cruise port. However, Ms Williams reported that the cruise line will complete a second pier in 2026, which will facilitate the arrival of more XL class ships and up to four million guests annually by 2028. 

“Carnival’s Celebration Key officially opened in July 2025, marking a transformational milestone for Grand Bahama's cruise sector,” Ms Williams said. “The project represents an initial investment of over $600m and has created over 1,000 permanent jobs for Bahamians, both directly and with third party operations, along with 58 Bahamian-owned retail and food and beverage businesses operating within the port.

“In its first 12 days of operation, Celebration Key welcomed more than 75,000 passengers, contributing to a substantial surge in cruise arrivals to the island and further strengthening Grand Bahama's visitor numbers and economic outlook. The port's initial pier accommodates two XL class ships simultaneously. A second pier is scheduled for completion in 2026, enabling the facility to birth four of Carnival's largest XL class ships at once, with the projections of welcoming up to four million guests annually by 2028.”

As for hotel inventory, Grand Bahama currently has 1,313 rooms, which includes small to mid-size hotels, boutique properties and timeshare accommodations, according to Ms Williams.

Robert Sands, Baha Mar’s senior vice-president of government affairs, said the $600m high-end resort set to be built at the Melia site will break ground in February 2026. It will feature 350 rooms, 50 residences and eight villas.

While reporting that occupancy for Baha Mar year-over-year was flat, and that the average daily room (ADR) rate dipped slightly compared to 2024, he noted a “stronger than normal booking pace and robust demand” heading into Christmas and tye New Year, and the 2026 first quarter.

Jackson Weech, BHTA president and vice-president and general manager of operations, for Atlantis said 2025’s first and second quarter were consistent with budgetary expectations while the third and fourth quarter revealed “a sustained softening, aggravated by a particularly soft September and an extended US government shutdown that exacerbated an already challenged posture”.

However, the Paradise Island mega resort’s casino “continues to deliver ahead of expectations.” Mr Weech expects a stronger December, and added: “Looking to 2026 we expect a strong start, driven to a large extent by a solid group room base that will lift ADRs to about 2 percent [up] year over year in the first half,” Mr Weech said.

“For the full year, we are planning for a two point increase in occupancy compared to 2025 along with a modest ADR uptick, positioning us for a healthy growth and continued momentum. Certainly, it's our expectation that what we've seen by way of the first quarter and second quarter will press into the third and fourth quarter of 2026 respectively.