Government revenues from the timeshare industry for fiscal year 2005-2006 increased by 68 percent over the previous year to reach $813,627, the minister of financial services and investments revealed in the House of Assembly yesterday.
In 2004-2005, Vincent Peet said the timeshare department at the ministry collected $483,250 through registration and licence fees.
“At that time, we estimated that totals for the fiscal year 2005-2006 would climb to $600,000. Actual figures for the year 2005-2006, however, have substantially exceeded the estimate and amounted to $813,647 which represents a 68 percent increase over the previous year’s revenue,” said Mr. Peet.
According to recent statistics, about 40,000 timeshare visitors stay in the Bahamas each year. Mr. Peet said the American Resort Development Association (ARDA) indicated that the typical timeshare purchaser spends about $3,600 per week when they stay at a timeshare property.
“As such, timeshare visitors along contributed an estimated minimum $144 million to the Bahamian economy,” Mr. Peet said. He added that the figure was based on a one-week stay. “A substantial number of timeshare visitors stay for up to three weeks,” he said. The timeshare industry in the Bahamas directly employs a minimum of 2,000 full-time workers.
Mr. Peet said that while no new timeshare properties were added in 2005, his ministry was currently reviewing an application by Taino Beach Resorts. In addition, Mr. Peet said the first 100 percent fractional timeshare resort, the Exuma-based 80./50 Club, was expected to open for business in late 206. Mr. Peet said the $2 billion Baha Mar development at Cable Beach was also expected to have a significant timeshare component.
Mr. Peet added that the launching of the amended Timeshare Act was the number one priority for the timeshare development. Certain amendments to the Timeshare Act were recommended following consultation with the industry.
“The Attorney General’s office is currently reviewing those amendments, and it is expected that the draft amended legislation will be presented to Parliament shortly,” said Mr. Peet.
He added that his Ministry had met with representatives from the Marriott Resort and Bella Vista Group – affiliated with the Four Seasons Hotel chain οΎ– who have expressed interest in operating timeshare properties.
Mr. Peet said the Island Seas timeshare property in Freeport, Grand Bahama, has submitted plans to expand its existing property. “They recently began construction and estimate that approximately $4 million will be invested to add an additional 50 units to the resort. Approximately 250 Bahamians will be employed in the construction and operational phases,” said Mr. Peet.
By Cara Brennen, Tribune Staff Reporter
