The government made a $10 million downpayment for the purchase of the Grand Lucayan resort, Prime Minister Dr. Hubert Minnis confirmed today during a press conference at the Grand Bahama property.
“We have signed the sales agreement and we hope to complete the purchase of this hotel within the next 30 days,” he said.
Minnis said he will give a full report on the purchase of the resort in mid-September when the House of Assembly meets.
The decision to buy the property came after Canadian real estate developer Paul Wynn, who had signed a letter of intent with the Hutchison Whampoa to buy the resort, pulled out of the sale.
Wynn said that he thought the final purchase price negotiated, of $65 million, was too high. He said it could take between $110 million and $120 million to fully open the Grand Lucayan.
Two of the hotels that make up the three-piece property remain closed following Hurricane Matthew in 2016.
On Monday, Minister of Tourism Dionisio D’Aguilar said the government does not plan to spend the near $100 million to renovate the hotel.
D’Aguilar said the government was only interested in purchasing the hotel and finding a buyer.
However, he admitted that the government would incur some losses.