Prime Minister Perry Christie said Wednesday he is not inclined to discuss further the agreement that the government has with the Baha Mar developers for the $1.2 billion upgrade for Cable Beach, at least not while negotiations with hotelier Phil Ruffin are at a ﾓsensitiveﾒ stage.
Mr. Christie was responding to overtures from the Free National Movement for the government to table the Heads of Agreement for the much-touted impending transformation, that involves the sale of private and government interests along the strip.
He made it quite clear that the overall plans are predicated upon the developers acquiring the Wyndham Nassau Resort and Crystal Palace Casino and the Nassau Beach Hotel from Mr. Ruffin, which is not yet concluded.
“It is a sensitive process that we are now in governed by those agreements,” said Mr Christie across the floor of the House of Assembly to the official leader of the opposition Alvin Smith. “The government has agreed to sell. Ruffin has agreed to sell. Until such time as that is done, I would not encourage any debate or discussion over the issue.”
But the prime minister indicated that he was not adverse to speaking privately with Mr. Smith on the matter.
Free National Movement officials including party chairman Carl Bethel have been pressing the government to come clean on the $1.2 Baha Mar deal, for which the Heads of Agreement was signed almost two weeks ago.
Reacting critically to the plans for Cable Beach, the FNMﾴs chairman said there is far too much that is wrong about the recently announced deal, claiming that it is the wrong deal, on the wrong island, in the wrong place, at the wrong time and is being done in the wrong manner.
“It is unacceptable for the government to effectively give away hundreds of acres, nearly 500 acres, of Crown Land to foreign investors,” he said recently at a community gathering. “Crown land belongs to the Bahamian People. It should not be given away to foreigners. If it is, effectively, given away, then the Bahamian people should receive equity shares in the project for their investment. The deal, as announced, is worse than a sell-out of Bahamians; it is a give-away.”
But government officials have scoffed at the claims and even the chairman of the ruling Progressive Liberal Party Raynard Rigby has fired back.
Mr. Bethel even went as far as giving suggestions, recommending that The road diversion should extend no further south than the Hobby Horse Race Track land and there should be no attempt to segregate Cable Beach from surrounding residential communities and businesses, the projectﾴs resemblance to that of Atlantis should be reviewed.
The prime minister yesterday, made it clear that he takes full responsibility for the plans for Cable Beach as the lead government negotiator.
“I will accept full responsibility for everything that is in those agreements and I undertake as soon as the transaction is complete not only to provide the agreements but to if you would wish to debate it to have a debate for it,” he said. “I am about transforming the Commonwealth of The Bahamas, no different I am sure from what you would do if you were in my position.”
The government was persuaded to endorse the project lead by Sarkis Izmirilian because he and his father are wealthy permanent residents of The Bahamas with extensive investments here and their commitment to bring some $400 million in equity to the development. Their vow to attract successful, international brand names as their hotel and casino operating partners also weighed heavily in the governmentﾴs decision.
The consortium has agreed to pay $45 million for the government owned Radisson Cable Beach Resort and property owned by the government which will be brought into the projectﾴs scope.
The current negotiations with Mr. Ruffin call for the investors to pay $150 million.
In phase I, Baha Mar is committed to constructing a 1,000-room casino hotel with a 75,000 square foot casino, renovate and expand the Radisson property into a 1,000 room convention hotel, create a new 300 room luxury resort and renovate 400 rooms at the Nassau Beach Hotel. Additionally, there will be world-class attractions and amenities.
Source: The Bahama Journal
