Vexed Bermoothes

FreshieBlog points out that Parliament will reconvene this Friday to debate a special bill to permit the conversion of the Club Med property and St George’s public golf club into a new real estate development.

There are a lot of unanswered questions about this deal, which will turn public-owned land into a private development for 262 years.  I am surprised that the local media have gone along so meekly without asking the basics: these would be demanded by the public in most jurisdictions!

Has any effort at all been put into estimating what Government’s income will be off the resort? It’s ridiculous to debate what you are giving away if you don’t know what you are getting for it! Keep it simple, just focussing on the lease, land tax, immigration fees, occupancy taxes, and payroll tax.  What will this deal bring to Bermuda?

• Who are the investors behind Addax Holdings?  (Park Hyatt is likely to be only a concessionaire). The public deserves to know who will be the effective owner of 125 acres of Bermuda land.
• Why so long a lease?
• Are the condos being targeted to overseas buyers, or will they be available for workers in Bermuda’s international business sector?
• What private properties will fall under the enforced purchase by Government for the project?  How many and what land mass?
• What is the financial consideration to be paid to the people of Bermuda for the lease?
• Is the financing in place?  Is there any recourse to Bermuda should the existing project not proceed as planned, within a certain time frame?
• Will the 180 condominiums (of which 40 may be fractional) be allowed cars?   Will any proportion of the condos be reserved for Bermudians?
• Those are generous tax concessions;  has Government determined a dollar value for them?
• Was the contract for the clearing of the Club Med site put out to competitive public tender?
• Will any stipulation be made for construction contracts to be publicly tendered to local companies?
• How many work permits will be granted to the developer and resort operator?
• As the Act only provides for public access to the foreshore and the golf course “when determined reasonable by the Minister,” does this mean the land will become a gated community?  Will any of the now-public roads through the site be closed to general access?
• Is any stipulation being made for the revitalisation of amenities in the Town of St George itself?
• Will the sewage plant also serve the Town, which has needed a new plant for years.
• What’s the impact of having so many foreign property owners?  Will they become eligible for PRC?
• Hey what about that Police station?  After years of pleas from St George’s voters, it looks pretty bad to only restore the local Police station as part of the development deal.

See also Part 2.