Tag Archives: Barbados Tourism Industry

Loveridge: Special tax breaks for new hotels harm existing businesses

Will tax concessions for new businesses finance predatory pricing against existing hotels?

Adrian Loveridge, small hotel owner.

Adrian Loveridge, small hotel owner.

If you have not already, I implore you to read, especially if you are involved in tourism or financing, what in my humble opinion is an excellent article entitled The La Source Saga’. The author, S. Brian Samuel, spent 20 years with the World Bank primarily working on the Caribbean Project Development Facility with the specific task of raising finance for regional businesses.

Brian honestly admits that La Source was one of his favourite projects and in fact on retirement he took up the post of Executive Director when it re-opened in February 2008 after the ravages of Hurricane Ivan.

Within three years of its original opening La Source financially broke-even and achieved a year round occupancy of between 72 and 78 per cent, prior to Ivan striking the island. Even with just 100 rooms, which then represented only 8 per cent of Grenada’s total room stock, it was providing a staggering 20 per cent of the entire hotel guests to the destination.

The article goes on to graphically detail the challenges that followed, leading up to a second closure, or as the writer describes it, ‘Death and Rebirth’.

Faced with mounting unemployment, declining revenue and a real risk of losing further airlift, the Government of Grenada had to do something and I understand that Sandals had already expressed an interest.

To seal the deal, the then Minister of Finance, Nazim Burke, gave them ‘something special’ and concessions granted included: Continue reading

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Filed under Barbados, Barbados Tourism, Economy

Almond Resorts purchase – Were shareholders deceived?

(click image for large)

What is going on here?

Message from the Board of Directors of Almond Resorts Inc delivers a surprise!

by Adrian Loveridge, small hotel owner

A message published in the Nation and Barbados Advocate today, August 9, 2012, says that shareholders were asked to approve the sale of Almond Beach Club to Fairweather Holding Co., but it appears they were only acting as a nominee for Lazy Lagoon (Barbados) Ltd. This notice is the first time to my knowledge that Almond shareholders and employees heard that the purchaser was ‘Lazy Lagoon (Barbados) Ltd.’

Is this a newly formed company and where is it registered? I tried searching the CAIPO Corporate database but cannot find it.

Who are the shareholders of Lazy Lagoon (Barbados) Ltd and what is the commonality with Lazy Lagoon Limited which is as associate company of the Goddard Group (33 per cent sharholding) or Lazy Lagoon Holdings Limited an associate company of Neal and Massy Holidays Ltd (44.5 per cent shareholding)? Who now, are the owners/shareholders of Morgan Bay Hotel and Smugglers Cove, both in St. Lucia?

It would appear that this (possibly new) company, Lazy Lagoon (Barbados) Limited, has been allowed to purchase Almond Resorts at a knockdown price which may not be in the best interests of all the shareholders. The shareholders appear to have been misled when they were advised that Fairweather Holding Company (Elite Island Resorts) was purchasing the property.

I think questions have to be asked and answered.

Editor’s note: BFP made several major changes to the original article as submitted by Mr. Loveridge.

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Filed under Barbados, Barbados Tourism, Offshore Investments

DLP Government’s tourism ‘solution’ too little, too late for an industry in crisis

Barbados tourism industry feeling the pressure, taking undeserved flak from know-it-all politicians

by Adrian Loveridge, small hotel owner

For the first few days of her reign, Patricia Affonso-Dass (photo above courtesy of The Nation), the newly elected President of the Barbados Hotel and Tourism Association, perhaps concluded that she had joined a battle and was undergoing a Baptism of Fire. If many of our policymakers took the effort to better understand the tourism industry, they would have been more guarded with what I thought were in some cases rather unfair comments.

Tourism is a lot more, of course, than about a bunch of hoteliers, but often it is those same people who sacrifice freely, enormous amounts of otherwise quality and productive time with their families and businesses, while endevouring to make a positive difference.

Two years of attending endless meetings, attempting to juggle with all the vested interests and egos and so often without the resources that other entities seemingly take for granted. And they do this without all the perks, benefits and salaries others receive, including politicians, who in some cases can retire at fifty years of age with a taxpayer pension for life.

Sadly, most of the contentious remarks played out in Parliament and the media could have been entirely avoided with better communication and if the ruling party are seriously considering the possibility of re-election, they may wish to address this issue. Continue reading

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Filed under Barbados, Barbados Tourism

Tourism Matters: New flights to Barbados from RedJet, WestJet, JetBlue, GOL/Varig and American give hope for 2011

Let’s target some new markets and work hard in the New Year

by Adrian Loveridge - Small hotel owner

Fair competition is a wonderful thing and personally I don’t think it’s anything to fear. Hopefully soon the necessary operating licences will be granted and the prospects of seeing some reduction in the cost of intra Caribbean travel will become a reality.

And how exciting to see the international aviation registration of 8P emblazoned on a Barbados based aircraft and the generation of new on-island employment in this sector.

Even before REDJet takes commercially to the air, the limited competitors have already been galvanised into action. The Trinidadian carrier, Caribbean Airlines, taking half page newspaper ‘ads’ pointing out a choice of seat classes, complimentary drinks, meal or snack, in-flight entertainment and the fact that you can earn miles, amongst other possible differences or benefits. Ultimately, the consumer will have a choice, as to whether they prefer more affordable travel or the once almost standard perks. Continue reading

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Filed under Aviation, Barbados, Barbados Tourism

Wither our Small Barbados Hotels?

Government shows indifference to the small hotels

Adrian Loveridge

I read with interest some of the many comments attributed to the long serving chairman of the Intimate Hotels of Barbados at the organisation’s Annual General Meeting recently. I agree with most of them, but sadly I have also heard most of them before over prolonged periods of time. Until there is a fundamental shift in thinking, little will change.

Regrettably, consecutive Governments have not recognised the contribution made by our more than 120 small hotels. Continue reading

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Filed under Barbados, Barbados Tourism, Tourism, Travel, Traveling and Tourism