Video: Horseshoe Bay Concession Awarded

November 26, 2020 | 6 Comments

[Updated] Minister of Public Works Lt/Col David Burch is holding a press conference this morning [Nov 26] to provide an update on the Horseshoe Bay Beach Concession.

Update: Horseshoe Bay Live, and the team consisting of Delton Ebbin, Devon Simons, and Carl Vincent have been awarded the lease to the Horseshoe Bay Beach House Café.

Minister David Burch press conference Bermuda Nov 26 2020

The Minister said, “The invitation for RFP was issued on March 2nd, 2020 and closed on July 1st, 2020. A total of 16 proposals were received of which eight were shortlisted and invited to make presentations to a joint committee.

“Following the presentations – the 8 shortlisted applicants were then narrowed down to the two with the highest scores. Both proposals estimate a capital investment of approximately $3,800,000.00 to redevelop the site.

“I am pleased to announce Horseshoe Bay Live, and the team consisting of Mr. Delton Ebbin, Mr. Devon Simons, and Mr. Carl Vincent, as the new entity to be awarded the lease to the Horseshoe Bay Beach House Café.

“Working in partnership with the Government as the landlord, the leaseholder will be granted an initial 5-year development lease with an option for renewal to be negotiated as part of the lease.The Horseshoe Bay Live Team here today, are experienced young Bermudians of the highest caliber in the hospitality industry.

“I am confident they are all up to the task of shouldering the enormous responsibility of offering world-class facilities and services at the most popular and iconic beach in Bermuda.

Update: The live broadcast has concluded and the 21-minute replay is below. As a note, the video has two strange stops, as there was a connection issue so a short portion is missing twice, our apologies for this!

Update 1.40pm: Minister Burch’s remarks:

Good morning.

Thank you for joining us this morning to introduce the new operators of the Horseshoe Bay Beach Concession.

Before doing that though – I’d like to give some background on the process employed to get to this point.

Having reviewed the last tendering process, the existing lease, and the lessons learnt, plans were put in place to ensure a far better outcome for the next lease period.

The existing lease for the Beach House Café was granted for a fixed term of 5-years on a full repairing basis and is due to expire March 31st, 2021. The existing facility is an aged and considered substandard for Bermuda’s prime tourism destination. Therefore, the expiry of the existing lease has presented an opportunity to have an old facility redeveloped and improved for the next leasing period to improve the tourism experience.

The property has been advertised inviting proposals to be submitted for the improvement and operation of the Café commencing at the termination of the current lease. However, in the absence of Government capital funding for the development of the site, consideration has been given to exploring the option of development by the proposed tenant. The initiative was packaged in an open public tender for Request for Proposals [RFP] from interested parties in the hospitality industry.

The aspirations of the Government, among others, include: encouraging and providing opportunity for talented or experienced young Bermudian entrepreneurs and supporting the set-up and investments that will stimulate economic growth in the current economic climate.

The tasks involved in the arrangements and respective timeframes per the following phases:

  • Phase 1: Evaluation of proposals; shortlisting; presentation and selection of prospective tenant [Timeframe: August - Early September 2020].
  • Phase 2: Approval for selected prospective tenant; offer of development lease; agreement on redevelopment design; drafting and negotiations [Timeframe: November 2020, possibly extending to December 2020]
  • Phase 3: Existing lease expiry, site investigations in preparation for redevelopment arrangements [Timeframe: November 2020 – March 2021]
  • Phase 4: Redevelopment lease commencement; preparations for opening of Café from start of holiday season; acquisition of Development/Planning consent [Timeframe: November 2020 [if early termination can be agreed] -. Termination dates are being negotiated with the current lease holder.
  • Phase 5: Redevelopment project by selected Café tenant/operator; completion and commissioning of new development [Timeframe: November 2020/Mar 2021 - March/April 2022]

The invitation for RFP was issued on March 2nd, 2020 and closed on July 1st, 2020. A total of 16 proposals were received of which eight [8] were shortlisted and invited to make presentations to a joint committee.

The 8 [eight] short listed proposals were scored independently by a panel of 6 persons from the Ministry of Public Works, Parks Department and the Bermuda Tourism Authority against a thirteen [13] point scoring matrix criteria which included; services to be provided, awareness of beach tourism trends, proposed redevelopment design, financial capability, ability to complete within time frame, management ability for beach rentals, environmentally friendly and sustainable services, local employment and visitor benefits. This together with overall consideration showing a well thought out plan to support making the Horseshoe Bay Beach facility experience a top tourism destination.

Horseshoe Bay graphic Nov 26 2020

Following the presentations – the 8 shortlisted applicants were then narrowed down to the two with the highest scores.

Both proposals estimate a capital investment of approximately $3,800,000.00 to redevelop the site. The proposed terms of the lease are a 5 year full repairing lease with a tenant’s option to renew for a further five or ten years, subject to agreement of lease provisions. The proposed lease terms assume the current facility will continue in its current format under the new tenant through to the end of the 2021 summer season. In the interim, the successful applicant will finalise designs, gain statutory consents and go through a phased development and approval process with the Ministry of Public Works.

With the excellent submissions in hand, we now have the opportunity for significant improvements to the Cafe facility and positioned to have a new development to replace the old.

And so today, following intense scrutiny and the challenge of selecting only one of the many excellent submissions, I am pleased to announce Horseshoe Bay Live, and the team consisting of Mr. Delton Ebbin, Mr. Devon Simons, and Mr. Carl Vincent, as the new entity to be awarded the lease to the Horseshoe Bay Beach House Café.

Working in partnership with the Government as the landlord, the leaseholder will be granted an initial 5-year development lease with an option for renewal to be negotiated as part of the lease.

The Horseshoe Bay Live Team here today, are experienced young Bermudians of the highest caliber in the hospitality industry. I am confident they are all up to the task of shouldering the enormous responsibility of offering world-class facilities and services at the most popular and iconic beach in Bermuda.

At the moment, we are preparing to take over the Café and ensure preparations are completed for it to resume providing services next April leading up to tourist arrivals.

As part of the plan, consultations, designs and the Planning & Building Permit process will begin. To that end, a construction team, consisting of representatives from the Department of Public Lands and Buildings and the new leaseholders will be created. This team will be responsible for facilitating the construction of the new development which is scheduled to start in Nov 2021 and be completed by April 2022.

The Department of Public Lands & Buildings will continue to provide support and work with the team throughout this endeavor to help ensure its success.

So in conclusion, I’d like to say that Horseshoe Bay Live are an energetic group of young Bermudians have earned this opportunity and I am sure they will make a success of it. I ask the people of Bermuda to support them 100%, especially as Bermuda and the world are still coming to terms with the devastation, death, and financial crisis caused by the COVID-19 pandemic.

Thank you and I now invite Mr. Delton Ebbin to say a few words.

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Comments (6)

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  1. sage says:

    Wow, a little awkward. If I got a 5year lease and planned to start a $3.8 million rebuild a year in, I would have to have a guarantee to extend the lease. Not sure I would be the “mystery backer” for this project. Publishing the winning proposal, or top two, would have been better PR and far more informative (I hope) than this press conference which was not very confidence inspiring.

  2. Joe Bloggs says:

    I seem to recall something similar proposed for the Shelly Bay facility. The PLP Government did not like the successful bidder and now we have no Shelly Bay facility.

  3. RastaCutty says:

    Congrats, wish you much success. Please make sure your attendants are more professional than the last bunch, they were really not friendly and never dressed presentable. This our national beach, we should be doing our upmost to make it the absolute top class. And is there a way to not have thousands of beach chairs stacked at the back of the beach, they looked horrible. Love horseshoe bay but the last company took no care at all to make it look good.

  4. Pleasantly Surprised says:

    It is wonderful to see we are investing in young Bermudians for this concession. I would have bet money this would have gone to one of the bigger players. I am excited to see what they do with this space! Congratulations!

    • What about us people says:

      OK i get it. But what about the people who had the concession and invested their millions? This is just not right. Hope it falls flat on its face just to prove a point!

  5. Question says:

    Weak uninspiring press conference. The ‘winning team’ didn’t know, for example, the square footage of their planned building. It’s all half-baked.

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