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Tourism

St. Vincent and the Grenadines Government Ditches PACE Developments, Sandals Set to Invest US$375 Million

Strategic Insights

— 2 min read

Prime Minister Dr. Ralph Gonsalves has announced that the St. Vincent and the Grenadines government will be terminating its agreement with PACE Developments, a Canadian investor behind the long-stalled Black Sands Resort at Peter's Hope. The project, which was first expected to be completed seven years ago, remains unfinished despite an initial investment of approximately $60 million. In its place, the government will be signing an agreement with Sandal Resorts International (SRI) to construct a US$375 million, 375-room resort at Peter's Hope. This new development is expected to create as many as 1,500 permanent jobs, with Sandals' Beaches family brand requiring four employees for each key, totaling 1,500 workers. Additionally, the government has informed PACE that it intends to purchase the existing project and have Marriott International develop a 300-room hotel in the area, which will require another 600 workers.

Key Takeaways:

  • The St. Vincent and the Grenadines government has terminated its agreement with PACE Developments, citing delays in project completion.
  • Sandal Resorts International (SRI) is set to invest US$375 million in constructing a 375-room resort at Peter's Hope, which is expected to create 1,500 permanent jobs.
  • The new Sandals development will employ four employees per room, totaling 1,500 workers.
  • The government intends to purchase the existing Black Sands Resort project from PACE Developments and develop a 300-room Marriott hotel, requiring 600 additional workers.
  • The total workforce for both hotels is expected to reach 2,000, with Prime Minister Gonsalves stating that people from all over the country will be employed.
  • The government sold PACE Developments 36 acres of land valued at 7 million EC dollars for the construction of the resort.
  • The Marriott hotel will be constructed at Mt Wynne, employing 250-300 persons, and is expected to provide a tremendous opportunity for workers to grow their professional careers.

Statistics:

  • The project has remained unfinished for eight years since the groundbreaking ceremony in February 2017.
  • PACE Developments had invested approximately $60 million in the project, with $30 million of that amount needed to complete the first phase.
  • The Caribbean nation's government has borrowed US$50 million to build the 250-room Marriott Hotel.
  • The Sandals hotel will employ 1,500 people, while the Marriott at Peter's Hope will provide between 500 and 600 jobs.
  • The total workforce for both hotels is expected to reach 2,000.

Sources:

  • Prime Minister Dr. Ralph Gonsalves' radio programme
  • Caribbean Media Corporation (CMC)
  • Information from the opening ceremony of the Marriott Hotel
  • Prime Minister Gonsalves' public meeting of the Unity Labour Party (ULP)

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