[Update - Minister Furbert told ZBM the agreement is "terminated" which he later changed, saying he "misspoke"]
The “lack of transparency” being demonstrated by the PLP Government in the Park Hyatt matter is “totally unacceptable,” and people deserve to be updated on public lands, UBP MP Charlie Swan said.
The the former Club Med hotel closed in 1988, was imploded in 2008, and scheduled to become a Park Hyatt Hotel. At a Town Hall meeting in 2010, developer Carl Bazarian said that construction would begin in late 2011. This plan is the latest of several for the property which has not been used as a tourist resort for almost 25 years.
Mr Swan said: “Government’s silence on the Park Hyatt Act/Addax Holdings Lease Agreement is causing grave anxiety and undermining confidence in Bermuda, and internationally with potential developers, on its handling of the 80 acre property leased to Addax Holdings owned by Mr. Carl Bazarian for 132 years with an automatic renewal for a further 132 years.
“Ironically, the lease agreement is with Addax Holdings – which was only recently revealed as a result of our (UBP) parliamentary questions – but the act is the Park Hyatt (St. George’s) Act 2008.
“It is worth noting that The Park Hyatt (St. George’s) Act 2008 makes no reference to Addax Holdings that holds the leases for the property, which compounds the concern as this was not determined until February when we had the leases was brought to light.
“Noteworthy, is that to date the Master Development Agreement (MDA) has not been made public. Within the terms of the Ground Leases are numerous references to this MDA, some of which leave it unclear as to whom ultimately is the tenant, or who will be the operator of the hotel.
Mr Swan continued: “In fact, a close read of the Ground Leases leaves one with the impression that the development itself could ultimately be turned over – by Mr.Bazarian or Addax Holdings – to any body or group he/they decide on. All this without the scrutiny, and beyond the control, of our own government.
“The real concern throughout this disappointing non event in recent months has been the silence of the PLP Government whose Minister of Tourism and/or Minister of Works should have provided the country with an update on the non performance on the Club Med lease – particularly since the developer is clearly in breach of completion deadlines set out in each of the lease agreements.
“This lack of transparency being demonstrated by the PLP Government is totally unacceptable. The people of Bermuda deserve to be updated on public lands by the Government of Bermuda and not subjected to public relation exercises.
“This deafening silence on the part of the PLP government concerning a key pillar of our economy, is concerning also because for Bermuda to continue to support the vaunted social programs that this government prides itself on, Bermuda also needs to have a business ethic that benefits us as well. Income from the tourism pillar of our economy helps to sustain the programs we have spent millions implementing.
“It would appear that the PLP government finds it easier to spend money than to generate it. That is a deplorable state of affairs for this country, and our people,” concluded Mr Swan.
Update: Tourism Minister Wayne Furbert told ZBM this evening: “The agreement with the Club Med, or Park Haytt, has terminated. We all know that the termination took place. But the Government is looking at its options of what it should do.”
- UBP’s Charles Swan Asks ‘What’s Going On?’
- UBP: Let’s Work Together On Crime Challenge
- Videos: UBP Anti-Crime Platform Press Conference
- UBP: ‘Misspeak’ By Minister ‘Bizarre At Best’
- Senator Dunkley: “Totally Inadequate Response”
- UBP: Overspending & Airport Security Fence
Articles that link to this one:
- Park Hyatt Resort Agreement Terminated | Bernews.com | September 28, 2012