Electra America Deal for Grand Lucayan Falls Through

GRAND BAHAMA, BAHAMAS – Negotiations with Electra America Hospitality Ltd. have come to an end, according to the Board of Lucayan Renewal Holdings Limited, as the closing deadline of November 15, 2022 is not possible.

According to a statement released by the Board, Monday night, “EAHL has advised that shifting global capital markets and related inflationary pressures resulted in higher construction costs and costlier access to credit. Accordingly, the company had difficulty securing development financing at terms that would allow it to fully execute the vision outlined in its business plan.”

However, the Board appears optimistic that a deal with “a well-capitalized entity that has expressed its interest in acquiring the Grand Lucayan Resort,” may be possible.

“The entity has a vision for the property, and a track record of having recently completed notable transactions in the hospitality space.”

The Board maintains that it is committed to ensuring that a vision for the Grand Lucayan is realized, to create jobs, opportunities and strengthen Grand Bahama’s economy.

Meanwhile, renovations of the Lighthouse Pointe buildings are underway.

The deal EAHL was announced back in May, and government indicated it would be subject to a 60-day due diligence period, with closing no later than 120 days. 

In August, that period was extended by 45 days to September 15th. 

As those deadlines passed, a new closing date of November 15, 2022 was set.