#Providenciales, April 4, 2019 – Turks and Caicos – The closure of Beaches Resort Turks and Caicos would be dismal, catastrophic even, for the Turks and Caicos Islands tourism industry and overall economy as tourism is the economic driver for the territory. The fact was soberly stated by the newly elected president of the Turks and Caicos Hotel and Tourism Association, when Todd Foss and other TCHTA executives met with media last week.
“Quite honestly, just watch what happened when Beaches closed after the hurricanes.”
In
the aftermath of the destructive descent of Hurricanes Irma and Maria, back-to-back
in September 2017, most resorts had to close including Beaches, for repairs. The three-month closure of Beaches Resort
resulted in major airlines instantly halting service to the TCI until the
resort reopened in December 2017.
“Beaches,
unofficially, I believe the number is like fifty percent of all the people on
each plane are going to Beaches and if those people aren’t coming here, then
there’s less flights and if there are less flights then we can’t fill our
hotels and if there’re less people on the hotels then we can’t rent as many
cars or go on as many boat trips. So, it
is a big impact. Mathematically speaking
there is no way to say it is not.”
Many
are watching in trepidation as the ‘tax saga’ unfolds between the country’s linchpin
tourism partner, Beaches Resort and the Turks and Caicos Islands’ Government
(TCIG). The dispute hinges on millions
and millions of dollars in unpaid or overpaid hotel and tourism taxes.
It
is a messy matter, which has drawn scathing criticisms for both sides.
According
to our source the lawsuit filed by Sandals Resorts International (owner of
Beaches Resort) against TCIG is not lifted but both parties are at the
bargaining table in a firm effort to hammer out an amicable arrangement.
“I
think the line from the new President of the TCHTA is impactful and shows a
full understanding and appreciation of the important role Beaches plays in the
TCI hospitality and tourism sectors,” offered a source close to the matter.
Beaches
in January announced via media statement that there would be three significant
closures over the next two years.
From media release issued January 25, 2019:
“Beaches Turks & Caicos Resort Villages & Spa will be closed
from September 3rd to October15th in 2019 and from September 7th to October 22, 2020, and then for an
indefinite period from January 2021.”
Foss
said the matter is confidential, but the TCHTA is attentive and on standby if
needed in the negotiation process.
“Our position is that we’re there to help mediate as best we can between the two parties because, as I have mentioned, it is important to the country as a whole that we sort that situation out. If there is anything that the Hotel and Tourism Association can do to assist in that, we are there for them.”
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