The government says that Zublin Grenada Limited is only one of a number of prospective investors who have shown interest in investing in the Marriott Hotel project here.
In a statement on Tuesday night responding to reports carried in Stabroek News and the Kaieteur News about the proposal made to Zublin, the government said it considers a number of these statements “pre-mature and inaccurate”. The statement was issued by the Privatisation Unit/National Indus-trial and Commercial Investments Limited (NICIL). Head of the PU/NICIL, Winston Brassington had previously refused to comment when contacted by this newspaper.
In the statement on Tuesday, government said it has entered into a Confidentiality Undertaking with Zublin “and any disclosures by Zublin, without the approval of government, would be a violation of this agreement”. It added that at this juncture, no commitments or agreements have been entered into with Zublin.
The statement noted that in May 2009, government advertised for Expressions of Interest (EOI) for a joint-venture for a hotel development project to be located at the corner of Kingston.
A number of EOI’s were received. According to the statement, Government in the advertisement had stated that the response to the EOI will be used to guide the selection of a partner or partners who will work with the government to design and implement the project. It added that the ad also said that the project will be implemented via a Special Purpose Company (SPC) financed with debt and equity contributions following a public-private model.
“Since that time, government has been working with a number of prospective investors to advance the project. Considerable progress has been made to advance the development of a Hotel Entertainment Complex that will include a casino, night-club, boardwalk and other amenities.
The hotel project will be operated by the Marriott. A special purpose company has been created to undertake the project”, the statement said.
It said that government views the project as an attractive one for investment based on the location that allows an integrated entertainment complex overlooking the ocean and river, all fiscal incentives permitted by law, and the combination of a first class Marriott Hotel to be operated by Marriott with a separately operated casino to be run by a third party operator that has not yet been selected.
The casino will operate pursuant to relevant legislation that requires the construction of a hotel containing no less than 150 rooms, the statement said.
It emphasized that no contractor for the project has yet been selected. It is government’s intention to shortly advertise for the pre-qualification of contractors to build this project. Government will in due course announce the details of the project, the statement said adding that, in the interim “government would like to urge the media to avoid any pre-mature statements or speculation on this project”.
Grenadian news reports cited company officials who said that the government here made a “very attractive offer,” to Zublin to build a hotel and casino here. “Zublin Grenada Limited has just concluded successful discussions with the Government of Guyana over the development and construction of a Marriott Resort and Casino on a prime location in the heart of the historic centre of Georgetown,” several reports from online Grenadian news sites said on Monday.
Zublin Chief Executive Officer Dick Van Dijk said he and Director Winston Whyte were very well received in Guyana. He said the Government of Guyana has placed a “very attractive offer” to Zublin which is being seriously considered. The Zublin team was given three weeks to consider the offer and a follow-up meeting is expected to be held on June 1.
A previous effort for a Marriott-operated hotel fell apart after the New York-based investors were unable to mobilize funding.
