The $600 million expansion to Kerzner International begins today with construction on the five-star resort's Ocean Club Villas. Phase III of the project is expected to have a tremendous economic impact on the country's tourism industry while adding dimension to the popular resort destination.
Chief Executive Officer Paul O'Neil said at a Rotary meeting Friday that construction of the villas will take the Ocean Club to a different level, ultimately reaching a whole new market.
The Ocean Club Resort will have three individual villa units with individual pools and three bedrooms each. A family pool will also be built at the Ocean Club.
Mr. O'Neil said the hotel is constantly aware of its visitors' demographics and recognizes that there are a lot of young people with young children. He said guests are now demanding a different type of service for their children.
The average room rate will be $3,500 a day or $20,000 to $22,000 a week. Currently the average room rate at Ocean Club is $600 per day.
"I know a lot of you are saying 'is there really a market for that' and 'people have got to be nuts to spend that kind of money.' Well there are a lot of nutty people out there, and there is a market. The CEOs that demand and command that kind of service to get privacy, as well as the folks in the entertainment world," he said.
Kerzner International's third phase development is expected to create an additional 6,000 jobs and generate $200 million in new tax revenues by 2008.
Phase III will also add 212 timeshare units. Construction is expected to start in 2004 and will last 16 months.
During this phase a marina village housed on eight acres of property will be built. Construction will commence at the end of this year pending the completion of the designs for the restaurants, and should be completed by December 2004.
There will also be 50,000 square feet of restaurants and retail stores. Of that amount, 30,000 square feet will be designated for four restaurants. The resort also plans to build a 300-seat family-style Italian restaurant, a Caribbean Mexican eatery, a steak house and Crispy Cr�me donuts.
Mr. O'Neil said plans are also underway to bring back Caf� Martinique. He added that Kerzner International is trying to persuade Starbucks Coffee to set up shop on the island.
Hotel executives also intend to build a firehouse on Paradise Island, which Mr. O'Neil hopes will be constructed this year.
"We have an agreement with government that we are going to build it. We are going to buy the fire truck and whatever equipment is necessary, and the government has agreed that they will man it for us," he said.
The CEO added that the hotel's initiatives would account for an increase of 11 percent in the country's Gross Domestic Product (GDP) through 2008.
Mr. O'Neil said currently there are no plans for Kernzer to develop any properties on the Family Islands.
Caption: Chief Executive Officer at Kerzner Paul O'Neil addressed Rotarians Friday on the company's development plans on Paradise Island.
By , The Bahama Journal
