By NEIL HARTNELL

Tribune Business Editor

nhartnell@tribunemedia.net

The potential buyer of Abaco’s Treasure Cay resort says it is “holding off” from starting any development work as it targets obtaining all necessary permits and approvals by October 2025.

Gaynelle James, the marketing director for Jacksonville-based GreenPointe Holdings, in a recent update to the 1,400-acre property’s homeowners asserted that no construction activity has been seen because the developer s determined to proceed “the right way” with “utmost respect for Bahamian laws, culture and environmental standards’.

The note subtly admits that GreenPointe and its chief executive, Edward Burr, have yet to close the $25m acquisition of Treasure Cay from its existing owners, the Meister family, as it describes the Florida-based company as “the prospective buyer”. This is despite Mr Burr and GreenPointe signing a $177m Heads of Agreement with the Government for the project in September 2024.

While the purchase is “under contract”, its closing is subject to GreenPointe obtaining the necessary government permits and approvals to proceed with the project. And the latest October timeline for securing these permits means it will be more than a year since the Heads of Agreement was signed, with GreenPointe saying this is now entirely dependent on the Government and could be delayed further.

“With many questions - and, unfortunately, some misinformation - circulating about the future of Treasure Cay, we wanted to share an update directly from the source,” Ms James wrote.

“GreenPointe Holdings, the prospective buyer of Treasure Cay, understands deeply what this place means to all who call it home, whether full-time or part-time. Like many of us, GreenPointe is eager to see progress, but is just as committed to ensuring it happens with the utmost respect for Bahamian laws, culture and environmental standards.

“To do this the right way, GreenPointe is working hand-in-hand with a team of Bahamian attorneys, environmental consultants, architects, coastal engineers and civil engineers to ensure every permit is properly prepared, submitted and approved before any work begins,” she added.

“They’ve already invested significant resources into this process and are hopeful that permits will be in hand by October. However, the timeline ultimately depends on Bahamian authorities and may take longer.”

Well-placed Treasure Cay contacts, speaking on condition of anonymity, confirmed that physical construction and development activity has yet to start. “There’s no flag in the ground,” one source said. “Nobody has been seen there doing environmental tests for two to three months now.

“Ed Burr, he’s there a fair amount, so it’s still positive, but he’s kind of back-sliding and saying the Government is holding it up. If the Government wanted that $177m to be spent in their country sooner rather than later, they’d have done anything proper to expedite the permits.”

But Bill McLean, head of the 120-strong Beach Villas Owners Association, the largest homeowners group on Treasure Cay, told Tribune Business “there’s not any sense” that GreenPointe’s permits are being unduly delayed or held up while agreeing that it would be “foolish” for the developer to close the purchase from the Meister family without having obtained all it needed.

“There’s nothing in the ground mainly because GreenPointe has not closed on the purchase,” he confirmed. “My understanding is that they expect to have all the permits - and part of my understanding is they are still working on some of the permits, but have obtained some of the key ones. Some of the others relating to more detailed building plans have not been received.

“There’s not a sense that they are being held up in any way. The process is what it is. It’s all quiet on the ground but I don’t expect it to be anything other than that until it’s closed. Anyone in the development business would be foolish to proceed without all permits in hand. 

“That’s not just in The Bahamas,” Mr McLean continued. “In my business as a commercial appraiser I’m working with developers all the time, and they are not going to put a shovel in the ground until they have all the permits. 

“It’s certainly not the update property owners would like. We’d all be happier if the deal was closed by now, but I’ve been around the property for some length of time, so I’m not surprised.” Mr McLean, though, agreed that Treasure Cay’s development and revival is key to resuscitating North Abaco’s economy and generating much-needed Bahamian jobs.

“I plan on being back in October, and it would be nice for everybody to see shovels in the ground,” he added. “The priorities, as I understand it, will be the marina and the complex around the marina where Tipsy Seagull bar used to be, and the golf course. We’re ready.

“It’s so key to the economy of North Abaco, and when you think of literally hundreds of jobs that have been held by the local Bahamian population in North Abaco this is just so key to trying to get that back.”

Ms James, in her update on behalf of GreenPointe Holdings, said: “Once all permits are approved by the Bahamian government and they receive a formal ‘notice to proceed’, GreenPointe will share detailed renderings with the community.

“In the meantime, GreenPointe is holding off to make sure everything shared is accurate and truly representative of the future we all hope to see for our beautiful Treasure Cay. Their priority is doing this the right way - with care, transparency and respect.”

She added: “Ed Burr, chief executive of GreenPointe, and a 25-year homeowner in Treasure Cay, is deeply passionate about this project. He has shared his vision for a thoughtful revitalisation of this beloved community and is committed to preserving the laid-back, barefoot island spirit we all love.”

Setting out the projects that GreenPointe plans to undertake once all approvals are received, Ms James said the plans include a new 163-slip marina, Tipsy Seagull bar and restaurant, new Coco Beach Bar and a “pedestrian-friendly” retail village featuring amenities such as a beach bar and coffee shop.

“GreenPointe is constructing a new wastewater treatment plant to support both future development and existing sewer infrastructure, including the 14 lift stations installed by Water & Sewerage Corporation after Hurricane Dorian,” Ms James said.

“This facility reflects GreenPointe’s commitment to environmental stewardship in Treasure Cay. In addition to treating wastewater, it will produce reclaimed water for use in irrigating the golf course, reducing freshwater demand and promoting sustainable practices.”

She added that the developer is also targeting “a complete rebuild of the golf course, clubhouse and racket sports facilities, including tennis, pickleball and padel, and “exploring options for medical care” and grocery store services.

Tribune Business revealed earlier this year how GreenPointe was seeking to raise more than 92 percent of its target $65m equity capital from other investors while only committing $5m of its own funds.

An offering memorandum seen by this newspaper showed it was aiming to raise a total $121.406m to cover costs associated with the first two years of redevelopment work. The total $65m equity capital would have accounted for some 53.5 percent of this total, with the balance generated from a combination of residential real estate and marina slip sales, plus operating revenue from Treasure Cay’s club.

Detailing how the $121.406m would be used, the GreenPointe offering document disclosed that some $25m or 21 percent would be spent on “Treasure Cay acquisition”. This is the line item representing the largest use of the $121.406m proceeds, and appears to signal that other investors - as well as real estate and marina pre-sales - will finance the development’s purchase from the Meister-owned Treasure Cay Ltd.

Investors had to inject a minimum $500,000 and, if they invested $1m-plus, they would get “added benefits” such as preferential treatment in real estate offerings and “lifetime membership at the Treasure Cay Club” without having to pay dues or initiation fees. A schedule setting out how investors were to be repaid was detailed with talk “of a return equal to 18 percent per annum”.

Besides the $65m in equity ownership capital, GreenPointe was projecting it would raise the balance of its financing needs for the first 24 months’ build-out from $41.954m generated by “net residential revenue” and a further $4.272m in marina slip sales income. The Treasure Cay Club’s operating revenue would provide the final $9.71m.

Apart from funding the $25m “acquisition”, GreenPointe’s offering document said it planned to split the proceeds between an $18.943m spend on “master infrastructure”; $12.59m on “residential infrastructure”; just over $20m on marina construction; $14.131m on a golf and racquet club; and $12.851m on the marina village and beach club’s first phase; with the balance committed to “soft costs” and a reserve “contingency”.