Referring to 2004 as a ‘year in transition’, the Bahamas Hotel Association pointed to twelve threshold events during the year which are helping to shape the industry’s future. The highlights, which are not listed in any priority order, are as follows:
Kerzner Moves Ahead with Phase III Work – Work stepped up in 2004 on initial Phase III projects. ﾠThe $600 million phase over several years commenced with the construction of three new luxury villas at One&Only Ocean Club, additional timeshare units at Harbourside Resort at Atlantis, and a new outdoor retail and restaurant village.
Four Seasons in Full Gear – The exclusive resort which opened late in 2003, exceeded occupancy expectations during its first year of operations. ﾠAirline traffic and direct flights increased, placing added demands to refurbish and expand the Exuma airport terminal, most which was completed during the year.
New Destination Image and Ad Campaign – Late in 2003 the Ministry of Tourism unveiled a completely new destination image and ad campaign. ﾠEarly in the year the campaign took hold in the media, as the new logo was incorporated into print and television usage. ﾠThe ‘island hopper’ television ad campaign received heavy play in key markets – reinforcing the new identity.
Bahamas.com and Expedia Partnership – Hoteliers reported good booking results as the teaming up between Bahamas.com and Expedia, the official booking engine, completed its first year. ﾠ
Airlift Increases: More Flights, New Airlines, Family Islands Stops – JetBlue now joins Delta and US Airways in providing nonstop jet service from New York. ﾠSong, Delta’s low-fare service, added a direct daily from JFK. ﾠSpirit Airlines announced direct jet service from Ft. Lauderdale starting January, 2005 with easy connections to a number of cities they serve from there. US Airways will introduce direct service each Saturday between Charlotte, NC and Exuma. ﾠBahamasair also began direct service between Ft. Lauderdale and Exuma in November. ﾠContinental Connection commenced direct flights to Cat Island and Governor’s Harbour, Eleuthera earlier in the year from Ft. Lauderdale.
Agreement Reached Between Industry and BHCAWU – Following an extended period of negotiation, the Bahamas Hotel Employers Association and the Bahamas Hotel Catering and Allied Workers Union reached agreement on a new contract for nearly 7,000 workers which was signed in March. ﾠ
Nassau International Runway Improvements Commence, Announcement of Airport Manager Imminent – Lagan Holding Ltd. International, a United Kingdom-based firm signed a contract for the complete renovation of the main runway 14/32. ﾠThe $35.5 million project will include the installation of signs, pavement markings and drainage. The project is divided into two phases. Construction began in June with completion set for April 2005. During construction 9/27 will serve as the main runway at Nassau International Airport. ﾠBids were also solicited for a management company to assume operations and development responsibilities for Nassau International Airport.
Ministry of Tourism Public Awareness and Voice of Visitor Campaigns Hope to Change Behaviours – This year saw the launching of two key initiatives by the Ministry: a regular “Voice of the Visitor” feature in printed and electronic press and a series of customer service training workshops. ﾠThe broadbased customer service training program directed at taxi drivers, straw vendors, hairbraiders, ferryboat operators, tour guides, immigration officials and other front line personnel, formed part of the Ministry’s awareness strategy aimed at creating greater appreciation for the industry, better performance by those who work with the visitor, and pride in the best which Bahamians can offer. ﾠ
Industry Rebounds Quickly from Rare Back to Back Hurricanes – Two September hurricanes interrupted a fairly healthy year for the industry. ﾠMost properties were bouncing back in 2004 from nearly three disappointing years, when the positive trendline was interrupted by hurricanes Frances and Jeanne. ﾠExcept for San Salvador, Abaco and Grand Bahama, nearly all properties in The Bahamas were back to normal operations within days. ﾠWith only a few exceptions, properties on the three worst hit islands were expected to be fully operational by Christmas.
New Tourism Projects Approved, More Close to Agreement – Investor interest in The Bahamas grew as several new tourism and residential development projects were approved. ﾠThese included sizable projects in Abaco, Exuma, Eleuthera, and Rum Cay. ﾠAmong the investment projects is a $300 million development at the former Cotton Bay property in Eleuthera. ﾠThis represents the first major investment in a touristic development by Bahamian business persons. ﾠThe year saw a flurry of activity around a major redo of the Cable Beach strip, with discussions close to closure at year’s end. ﾠ
Kerzner Offers Bahamians Investment Shares – In a historic move, Kerzner made one million of its ordinary shares available to the Bahamian public. ﾠThe offering was broadly distributed to retail and institutional investors in The Bahamas. ﾠEmployees of the company, resident in The Bahamas, were able to purchase up to $800 worth of the proposed securities at a 20 per cent discount from the offering price.
Downtown Nassau Getting Master Plan. Commercial Port Relocation Being Studied – After years of discussion; tourism retail interests, downtown property owners, and others teamed up with Government to tackle a mandate from the Prime Minister to transform the historic city and harbour. ﾠUnder the auspices of the Prime Minister, a public-private sector Commission was formed. ﾠNoted planning firm EDAW was commissioned to facilitate the development of the master plan and ship relocation study, due to be completed early in 2005.
