The afc/pnc seem to have thrown up the white flag of surrender in blocking the construction of the Marriott and will instead seek comfort in their recent victory on blocking the Amelia hydro project.
Marriott Hotel complex scheduled for completion by third quarter of 2014
Written by GINA Thursday, 19 September 2013 22:38 TWO years into its construction, Guyana’s first five-star hotel’s main building structure, and the east podium are completed, and currently work is progressing on the entertainment complex. The 197- room hotel is scheduled to be completed in August 2014.
Giving an update to the media yesterday, Head of Atlantic Hotel Inc., Winston Brassington, using a power point presentation to highlight the status of construction, said the Marriott marks the return to local shores, after 40 years, of an internationally branded hotel. The Marriot will supersede the nearby Pegasus, in Kingston.
An analysis of the new hotel’s projected operations was given by Brassington, who described it as a “Public, Private Partnership Model or the Project Finance Model”. A private investor will invest US$8M and government, US$4M for a total of US$12M in equity. He noted that with US$27M from Republic Bank and US$44M from the soon to be identified operator of the entertainment complex, this cost is expected to outfit the hotel. NICIL is putting up one -third of the debt of US$15.5 M, he added.
The construction is being supervised by New York based M.A Angeliades Inc., after it was selected via a tendering process. The project is being undertaken by Shanghai Construction Group which has a design and build contract. Brassington noted that several top Marriott International officials recently visited the site and were impressed.
The selection process was transparent, Brassington noted, with initial advertisements in 1999 for expressions of interests in a joint venture for a hotel development. In November 2009, a letter of intent was executed with the Marriott Company, and by June of 2010, a joint press release between the Guyana Government and Marriott was issued, signalling the company’s intention and agreeing to come to Guyana to be the operator of the project.Secret investor debunked
The claims by some sections of the media that there was a secret investor was strongly refuted by Brassington who pointed out one of several previously placed advertisements which stated, “AHI is seeking to finalise its selection of one or more participants who will collectively own 67% of AHI’s equity with a total subscription value of US$8M.”
The government of Guyana will be a minority partner, owning 33% of AHI’s equity. Together the equity of AHI will total US$12 million, he stated.
It was stressed that no money from the Consolidated Fund will be used to execute the project. Every aspect of this project is in the public domain, he said.
The private investor will be identified once the legal documents have been sorted with Republic Bank, Brassington said. “We have every confidence that they will conclude financing and within a short period, we hope to close on the entire transaction”.
There have been four proposals received for the operations of the entertainment complex and once they pass vetting by AHI, Marriott and Republic Bank, one will be selected, he added.
Government’s investment is feasible with a return of 11% and it will catalyse the project. This is not dissimilar to related moves by other governments which have invested in like projects.
“The government of Trinidad and Tobago has invested in the Hyatt and also has majority interest in the Hilton. In Barbados, for the Four Seasons, which is under development, the government guaranteed a US$60M loan and caused their NIS to invest US$30M. The Ritz Carlton in Puerto Rico, Sandals in Jamaica and several others have similar government inputs,” he added.
The complex will house a seven-storey main structure, an administration building containing offices, and banquet hall on the eastern side and a separate entertainment complex to the west, containing a specialty restaurant, nightclub and casino.
Marriott International is a leading hospitality company with over 3,500 hotels internationally. It controls 337 properties in the United Sates, five in the Caribbean and 16 in Central and South America.
With regard to the beacon atop the lighthouse, he said this will be installed shortly on the top floor as a navigational aid.
The Marriott Hotel project is part of a five-year plan, according to government, which will significantly boost the local economy and provide 250 jobs for Guyanese.
I have to start investing in some Guyanese projects. 
