We've been patiently awaiting this news and it now appears that The Bahamas, it's people and it's economy, is poised for another major infusion of capital and an immensly powerful boost to the local economy!
Baha Mar and ScotiaBank Syndicate Reach Settlement of Cable Beach Loan Creation of Premier World-Class Destination Resort Set to Commence upon Receipt of Bahamian Government Approvals
Nassau, The Bahamas, October 6, 2010 –
Baha Mar today reported that it and the ScotiaBank-led syndicate have reached agreement to settle all outstanding issues regarding the loan on the Cable Beach properties. With this settlement, the commencement of the Baha Mar world-class development project is now in a position to move forward, subject to the project receiving the necessary approvals from the Government of The Bahamas.
Sarkis Izmirlian, Chairman and Chief Executive Officer of Baha Mar, said, “We and the ScotiaBank-led syndicate have worked very hard over these past several weeks to reach a settlement that serves the best interests of all parties, and should also benefit the Bahamas. I want to thank the ScotiaBank-led syndicate for their continued support of Baha Mar. In reaching this settlement, both sides accommodated each other, with the ultimate goal of fully repaying the lenders for their outstanding loan. The settlement, which includes the syndicate now becoming an equity participant in the Baha Mar project, demonstrates ScotiaBank and its other partners’ confidence in the project, and its economic potential for the Bahamas. With this agreement in place, we are hopeful that the Government of the Bahamas will move expeditiously to provide the necessary approvals -- as they recently said they would -- so that we can commence this project, which holds such significant economic and job benefits for the Bahamas, and which will transform the Bahamas into one of the premier global resort destinations.”
The Baha Mar project now has completed all appropriate and necessary financing arrangements with construction of the entire destination resort project slated to start later this year. Baha Mar recently announced a Letter of Intent under which the prestigious Rosewood Hotels & Resorts will operate and manage the planned 200-room luxury hotel within the resort, and Baha Mar expects to name additional brands over the next several weeks that will manage and operate the convention and lifestyle hotels.
According to rigorous analysis undertaken by independent experts, as a result of its single-phase development approach, Baha Mar will immediately create 11,000 Bahamian jobs, inject $1 billion into the national economy in its first year of operation, and bring 430,000 additional guests to the Bahamas annually.
**Information provided courtesy of Bahamar