Grand Lucayan New Deal

Grand Bahama Freeport — The government has agreed to sell Grand Bahama’s Grand Lukayan Resort to the Electra America Hospitality Group for $ 100 million. As a result, the job becomes available.

Electra is working on the $ 300 million development of this property.

“Electra is working on a luxurious lifestyle hotel with about 200 rooms and two dozen villas,” Cooper said at a press conference in the lobby of Grand Lucayan.

“Electra will also open a luxury convention hotel with more than 500 rooms for group and convention markets. All-suite resorts with more than 200 condominium hotel-style suites are planned.

“There are also plans for a refurbished golf course complemented by new luxury country clubs and golf villas, which will be added to the refurbished casino managed by world-class casino operators.”

Nassau Guardian I understand that Hard Rock operates a resort casino.

According to Cooper, the resort has at least 11 world-class restaurants and 10 bars.

He also said it has a spa and fitness facility, children’s amenities, event space, pool and water features.

“Subject to approval, solar energy will be a key part of a sustainable real estate management strategy,” Cooper said.

“There is also a garden on site that can provide guests with true farm-to-table meals. Electra is committed to best-in-class recycling practices as part of its sustainability efforts.”

The Government Agreement with Electra is subject to a 60-day due diligence period ending within 120 days.

Russell Urban, CEO of Electra Hospitality Group, said the group will focus on this year’s plans.

“The actual refurbishment will begin in earnest in 2023 due to its many time lags,” says Urban.

“We will continue to open all the facilities planned for the beginning of 2025, but to clarify that, and we know that the facilities will never be completely closed. It is also important to keep it.

“We always have a hotel open. We always hire people here today throughout the refurbishment process. We will continue to refurbish different parts of the site.”

At least 80 percent of the construction work goes to the Bahamans, Cooper said.

“At least 80 percent of full-time work must be for the Bahamans,” he added.

“Construction is phased and the hotel is always open. Electra is also working to utilize local artisans throughout the resort.

“And Electra is also committed to using the Bahamas’ live entertainment throughout the property. Every property has a unique or internationally renowned luxury brand.”

Urban said Electra is in talks with several international brands for the resort.

“We expect this property to have at least three very well-known brands, and it could be more,” he said.

“So we are now in the process of refining that decision.”

Grand Lucayan had a problem in the past.

The Minis administration purchased the resort in August 2018 from Hong Kong’s conglomerate Hutchison Whampoa for $ 65 million.

In March 2020, the government signed a summit agreement with Royal Caribbean Cruises and the ITM Group. The ITM Group has pledged to invest more than $ 300 million in real estate redevelopment and the construction of a cruise port. However, the COVID-19 pandemic delayed and changed the terms of the agreement.

The final purchase price was $ 50 million.

After being elected last September, the Davis administration canceled the deal, arguing it was bad and promised to find a new buyer.

Mr Cooper said the government “really” believes that the new group chosen is good for the Grand Bahamas.

He said the group, with more than 150 years of collective experience in the hospitality business, is part of Electra America, a conglomerate with significant assets worth $ 7 billion.

“Based on Dorian’s experience, Lucayan Renewal Holdings Limited is committed to guaranteeing the first $ 10 million in hurricane damage if two named storms land within the first five years of ownership. “We have agreed,” Cooper said.

“As part of the purchase price, the company has funded a new unit in the Grand Bahama Province, Collab: Partnerships for Development, to create and grow community projects and businesses for Bahamans to enhance tourism products. Promised $ 5 million for. In cooperation with the Ministry of Tourism and the Tourism Development Corporation.

“Electra is also committed to helping communities affected by Hurricane Dorian.”

Cooper said air transportation is an important factor in revitalizing the island.

The government has promised to rebuild and reopen world-class facilities by 2025.