Prime Minister Gaston Browne says at least two entities have expressed interest in acquiring Jolly Beach Resort, including international hospitality company Club Med, as the government continues to evaluate the future of one of the country’s largest tourism properties.
Speaking on his weekly radio programme on Saturday, Browne revealed that discussions have been taking place with potential investors interested in the resort, which has returned to profitability under government ownership.
“Club Med would like to acquire it,” Browne said, adding that another interested party, TUI, is also expected to hold discussions with government officials. “We’ll be having a discussion, I think, next week with TUI as well. They are also interested in the property.”
Despite the interest, Browne indicated that the government is cautious about any proposal that could result in a significant reduction in the resort’s room stock.
According to the prime minister, Club Med’s interest could involve redeveloping the property, a move that could temporarily remove hundreds of rooms from Antigua and Barbuda’s tourism inventory.
“We have said to them we can’t afford to lose so many rooms,” Browne said. “If they want to do it in a systematic way, you take out maybe 100 rooms, 200 rooms, and then we don’t lose all the rooms.”
Jolly Beach Resort remains one of the largest hotels in Antigua and Barbuda and currently attracts approximately 75,000 visitors annually. Browne said the property is generating about US$4 million in annual profits and has become a successful operation after years of financial difficulties.
The government acquired control of the resort after it faced significant debt and operational challenges. Browne said a restructuring effort, which included the sale of a portion of the property, allowed the government to clear outstanding liabilities and severance obligations while restoring the hotel to profitability.
“Currently it has been managed by Elite Island Resorts, and they’re doing a good job,” Browne said.
The prime minister argued that maintaining a strong room inventory remains critical as Antigua and Barbuda seeks to expand its tourism sector and increase visitor arrivals.
Government officials have repeatedly described Jolly Beach as a strategic national asset because of its size, location and contribution to the tourism industry.
Browne recently announced plans for a $13.5 million upgrade programme at the resort, including new air-conditioning units, improved internet service and the construction of a conference facility capable of accommodating up to 500 people.
While discussions with potential investors continue, Browne made clear that preserving the resort’s economic contribution and room capacity will remain key considerations in any future negotiations.
“As far as practical, we should continue to hold on to Jolly Beach as a national asset,” he said.
Source: Prime Minister Gaston Browne on the Brown and Brown Show.