Kovats emerges as potential buyer for Treasure Cay

Wednesday, December 22, 2021

By YOURI KEMP

Tribune Business Reporter

ykemp@tribunemedia.net

THE government will “look into” the concerns raised about the investor seeking to buy the Treasure Cay resort.

Chester Cooper, Minister for Tourism and Investments, speaking to reporters before the weekly cabinet meeting, said that “one of our objectives as the government is to make sure that there are harmonious relationships between existing investors, new investors, and the community and that’s what we will endeavour to do”.

The investor involved is Austrian Dr Mirko Kovats who has been involved in a number of development projects in The Bahamas which have attracted controversy.

Tribune Business understands Mr Kovats has already made an offer to the current owner of the Treasure Cay hotel. However, some residents feel there are better investors who are interested.

Dr Kovats, no stranger to controversy in The Bahamas, was involved in a deal to buy the old South Ocean resort in 2014. However, that was met with sharp criticism as people questioned his sincerity to buying the property so close to the Albany resort.

He was also involved in another controversial property deal in the Love Beach area in 2019 called “The View Love Beach,” which was also met with sharp criticism by the residents of Love Beach with them arguing the development would destroy their community.

It seems that Dr Kovats is running into opposition again in his Treasure Cay resort ambitions as several residents have contacted Tribune Business questioning his intentions and voicing their opposition to his acquiring the hotel.

The problem gets trickier as the power to veto the deal rests with The Bahamas Investment Authority (BIA) as the current owner of the resort, Robert Miester, has reportedly agreed in principle to sell the property to Dr Kovats and it is now just pending approval from the BIA.

Another concerned resident said Dr Kovats is just “bad news” and they wish his project is not given approval to move forward.

However, not everyone on Treasure Cay is vehemently opposed Dr Kovats acquiring the resort.

Francine Ojalvo Delarosa, purporting to be a member of the Treasure Cay Property Owners Association (TCPOA), wrote an open letter on February 22 to the Facebook page of the TCPOA about Dr Kovats potentially acquiring the resort and said that: “It is very encouraging to see progress and continued enthusiasm for our beloved Treasure Cay. We are all counting the days until we can make new memories here. There is a reason why this place is so magical and we all need to come together to keep it that way.

“The potential sale of TC Resort is not a new concept and is undoubtedly what our community needs and wants. The future of TC depends on new ownership. We must ensure that their vision is aligned with the vision of TC residents - no massive resorts/hotels, certainly no casinos, etc. I urge each and everyone of you to do your due diligence and learn about the potential new owner, Mr Mirko Kovats, and whether the vision for the resort will be in our community’s best interest.

“Our community deserves better and we must stand up and be vocal about our dreams and expectations of this community.”

Comments

Baha10 says...

Treasure Cay was “THE” Resort in the Family Islands in the 1970s and has languished ever since the Hotel closed in the 1980s and never reopened … it’s re-birth will be great for Abaco … and The Bahamas as a whole.

As for the Investor … it is amazing how people complain for 30 to 40 years … and now someone finally steps forward and puts their money where their mouth is … the same people, who presumably had 30 to 40 years to buy themselves, save their “talk was cheap”, now realize “money buy land” … nonetheless immediately resort back to complaining … even before the deal has closed … absolute classic hypocrisy and no wonder this Country is struggling to keep its head above water with such mentality.

Posted 22 December 2021, 5:32 p.m. Suggest removal

Maximilianotto says...

What is controversy? Buying a property next to Albany? What is the community’s interest after Dorian? No hotel? No investment? They should be grateful that a billionaire invests in The Bahamas. The country is being monitored by many institutions. Better be careful.

Posted 22 December 2021, 5:50 p.m. Suggest removal

sheeprunner12 says...

There are many closed hotels across 242. Cooper should find a few more Kovats

Posted 23 December 2021, 7:13 a.m. Suggest removal

LastManStanding says...

This is old news. This deal was allegedly going to happen from when the FNM was in government. Treasure Cay is a community without vision and this man would have to be a fool, or have some ulterior motive, to buy it. You cannot have a community catering to both second homeowners AND partying tourists. They are two completely different demographics that you are trying to appeal to. Not to to mention that aside from periods during the Kappeler years, Treasure Cay was nothing but a loss making endeavor under Meister's ownership. Without a beachfront casino and hotel, you would be wasting money investing into the community. The second homeowners and locals are not going to be much in favour of that though.

I expect this deal to go the same way of the Canadians, Chinese, and everyone else that has looked at Treasure Cay in the past. The real MVP of Treasure Cay is Craig Roberts. Without him doing his best to get Bahama Beach Club back on its feet, Treasure Cay would be a completely lost cause.

Posted 23 December 2021, 11:55 a.m. Suggest removal

Piccadilly says...

Interesting! Many investors are being questioned by this Administration. My clients included, even investing is now be becoming political? There are many Sexier places coming up Cayman & Turks are a few. Becareful how you treat foreign investment that you are so dependent on . Its a small circle the word gets out . Investors will soon start waiting until elections before investing with the change of government. Happening so often.

Posted 24 December 2021, 2:58 a.m. Suggest removal

So Craig Robert’s the marijuana producer should buy Treasure Cay? Enough land for growing marijuana. Welcome to the New Pindling Day! So drug business will resolve the Bahamas economy? The DEA and Navy Seals coming. Strange administration. Someone waiting for some 💰💰💰? Kovats seems to be too straightforward apparently not appreciated.
Will he sit back and not act? Doubt it. Interesting weeks to come, this plus Omikron may be the final drop in the bucket for 2022 IMF takeover.

Posted 27 December 2021, 2:36 a.m. Suggest removal

familyoffice says...

May we release the following facts regarding your article's incorrect "landbanking" comments. We have better things to do than landbanking in The Bahamas.

1. South Ocean Canadian Commercial Workers Pension Plan property

Following acceptance of all conditions set by the vendor's lawyer, Dr. Kovats delivered the signed purchase agreement to the vendor's lawyer in 2014, the vendor CCWPP never countersigned and returned.
A $2,0 bn. development has been predesigned and submitted to the then Prime Minister Perry Christie and Town Planning, including hotel development. No answers, no comments, no decisions.
The renewed project has been submitted in December, 2021

2. Love Beach

Dr.Kovats financed the first building to the previous owner who did not complete the building. In 2014-2015 Dr. Kovats foreclosed the property, acquired adjacent parcels, and received all approvals by September, 2021 only.
The building plans will be executed by first half of 2022, and, again, depending on approvals time schedule, construction of the residential project is slated to begin in 2022 immediately after having received building approvals.

3. Treasure Cay

Dr. Kovats signed the sales and purchase agreement with the vendors beginning of 2021, in the midst of the COVID Pandemic. Following the complex due diligence, which is close to being completed now, closing is expected by beginning of 2022.

BIA asked for a development plan last week, which has been submitted within 2 working days, including significant investment. It took 8 unanswered emails to BIA starting August, 2021, to receive this request.

Following meeting with the DPM Chester Cooper confirming "removal of red tape and the most investor friendly government" we are confident of the "New Day" improvments.

I have written support and information letters about Treasure Cay to authorities interested in supporting The Bahamas in these challenging times, moreover expecting a very challenging 2022 ahead due to the recent Omikron spike.

All hands on deck are needed to support investment in The Bahamas, there is no time for "White Crab, Black Crab" games!

Dr. Wolfgang Groeger
Kovats Family Office
Vienna Austria

Posted 27 December 2021, 2:41 a.m. Suggest removal

Just read this - interesting - precise

Posted 27 December 2021, 4:38 a.m. Suggest removal

Bahamas2022 says...

TheNewPunch coming in 2022? Lots to discover and lots to write about 🤣🤣🤣👎👎👎

Posted 27 December 2021, 7:43 a.m. Suggest removal

TheNewPunch coming next year? Interesting. We missed the investigative newsfeeds.

Posted 27 December 2021, 7:46 a.m. Suggest removal

2022 will be many news about the New Day. It's a New Day - how few finally? Normally a new government has 100 days. These have passed. Any tangible results except cutting cakes at NIB?

Posted 27 December 2021, 9:57 a.m. Suggest removal

Just heard of the brilliant qualification criteria if the New Day head of the Bahamas Investment Authority - campaign worker for the PLP and - that’s even better - the PM was her godfather. Well, that’s apparently sufficient. We thought the New Day government will be better. But, after 1100 days - talk travels and nothing.
We report you decide. More to follow.
Time for 2022 election of the IMF to restructure this unbelievable competence.

Posted 28 December 2021, 3:30 a.m. Suggest removal

Typo - after 100 days - they would never make 1100 days the country will hit the wall in 2022.

Posted 28 December 2021, 3:31 a.m. Suggest removal