The Tribune

By ANNELIA NIXON

Tribune Business Reporter

anixon@tribunemedia.net

A major Bimini resort yesterday said it is expecting a weak summer with boating traffic and hotel occupancy lagging behind last year’s levels.

Stephen Kappeler, managing director of the Bimini Big Game Club Resort and Mariba, said the property’s performance has declined since Spring despite hopes that the traditionally stronger summer boating season would bring better numbers.

“We’re actually very far off in the summer,” Mr Kappeler said. “We’re worse off than we were in the Spring.” According to his data, the marina is currently missing 274 slip bookings compared to the same period last year, representing a 30 percent decline in occupancy and approximately $35,000 in lost revenue.

“Some earlier months we might have been down 50 slips, 100 slips, something like that in total,” he said. “We are missing 274 slips from last year.” While poor weather during the Memorial Day holiday weekend contributed to some of the losses, Mr Kappeler argued that it explains only a fraction of the decline.

“We had a whole bad five days where people couldn’t cross, and it happened to be over what is usually a sold-out Memorial weekend,” he said.

Mr Kappeler estimated that roughly 30 of the missing slips could be attributed to weather disruptions. The larger issue, he suggested, remains concerns about boating fees in the country.

“Most of it is related to the guest issue about perception of fees,” he said. “Guests are learning that the fees have been lessened, but it’s a little bit damaged and too late. Some people are still holding a grudge.”

The downturn, according to Mr Kappeler, is impacting overall operations. He said room occupancy is also suffering because visiting boaters represent a number of overnight guests.

“We are 253 rooms off from where we should be,” he said. “The boating industry is what drives the Out Islands for room occupancy. When one catches a cold, the other one gets the flu.”

As a result, restaurant and bar revenues are down between 20 percent and 30 percent, while sales at the  ship store and liquor store have fallen by approximately 24 percent, he said.

The struggles extend beyond the Bimini Big Game Club. Mr Kappeler said visible vacancies at the nearby marina operated by Resorts World Bimini indicate that the slowdown is affecting other marinas as well.

“Our competitor up the road, just by looking at the slips at Resort World, is very hurt,” he said. “We’re not the only ones hurt.” Despite the weak outlook for June and July, Mr Kappeler believes the market could recover over time as boaters eventually return to Bahamian waters.

“I think, over time, it should start to get better,” he said. “They’re going to get bored with staying home or doing the Florida Keys.”

Mr Kappeler added that summer boating visitors differ from winter and spring travellers, adding that future recovery of the industry depends on restoring confidence among boaters. “Unless there’s any more negative things done to boating, I would expect a further-out year to improve,” Mr Kappeler said.

He also expressed optimism about the appointment of Glenys Hanna-Martin as minister of tourism, adding that her previous involvement in major development projects demonstrated strong business sense.

“I think she has very good business sense,” Mr Kappeler said. “I see her as a very strong Bahamian woman.” He pointed to her role in supporting development efforts in Eleuthera, and said he hopes she will work closely with the boating industry to strengthen tourism arrivals.

“I would hope for some positive good change,” Mr Kappeler said. “I believe if she applies herself, she will work with the Association of Bahamas Marinas and Ministry of Tourism to do the right things to bring in more boating tourism, which at the end of the day turns into room night tourism and food-and-beverage tourism.”