A veritable domino effect is transforming Jamaica's northern "Gold Coast".
(ROSE HALL, JAMAICA) - October 2, 2006 - A veritable domino effect is transforming Jamaica's northern "Gold Coast" as island-wide improvements are permeating industries from infrastructure to tourism and everything in between. Brought about by a proactive government and a surge of foreign companies investing in the island, this renaissance has had widespread effects, positioning Jamaica as the premier destination in the Caribbean. Foreign direct investments have increased substantially with more than $800 million in 2005, a 33 percent increase over the previous year with continued growth expected.
In fact, in 2005 Jamaica was ranked 10th as a destination for ease of doing business, 12th for technology transfer and 17th for foreign direct investment by the World Investment Report, a remarkable feat for this nation of only 2.6 million people. In compiling the statistics, the World Bank report cited the island's $3.5 billion portfolio of current and upcoming projects as the most important factor in the ranking. Discussed below, the full range of programs from infrastructure, real estate, entertainment tourism and government have catalyzed additional investments from foreign companies as well as inducing continual improvement efforts.
INFRASTRUCTURE:
2001
Digicel, the nationwide cellular network, entered Jamaica's marketplace, driving down the price of phone services. More recently, a new submarine fiber-optic network is in place that links Jamaica to North America and the rest of the world, enabling high speed Internet and digital services.
December 2005
Sangster International Airport opened a new terminal concourse for passengers that offers state-of-the-art services, 11 additional jet bridges and 13 branded retail outlets, including two large restaurants, which serves 2,200 additional travelers each day.
July 2006
Virgin Airlines will make its inaugural flight to Montego Bay from Heathrow on July 3, with CEO Richard Branson flying more than 60 international journalists to the island to cover the event.
December 2006
The airport will open a 4,500 square foot, five-star terminal exclusively for private and corporate aircrafts—the only such private terminal on the island. The facility will offer a high level of traveler comforts, security and services to which the premium visitor is accustomed. The new terminal will also house immigration and customs, allowing speedy processing for entry and exit formalities.
2008
Phase II of the airport expansion will be completed and will include new and expanded arrivals, airline check-in, immigration and customs facilities, a jet bridge and additional retail shops and restaurants. Once completed, the airport will service more than 9 million passengers annually more than 300 international flights departing weekly on 49 airlines and all types of commercial and private aircrafts.
Highway 2000, which will link the three major resort towns of Negril, Montego Bay and Ocho Rios, is the centerpiece of a multi-year Millennium Projects Program initiated by the government. The main objective of the program is to upgrade Jamaica's infrastructure and assist in providing opportunities for the growth and creation of jobs. Highway 2000 was conceptualized in the early 1990s and will serve as a catalyst for economic activity along its corridor and will increase the safety of motorists.
REAL ESTATE:
January 2005
The Palmyra Resort & Spa at Rose Hall launched their exclusive real estate offering as the first and only luxury condo hotel community on the island. A landmark development for Jamaica, The Palmyra has continued to attract international buyers to the island and has set the standard for high-end real estate. The Palmyra offers a mix of luxury residences and villas in addition to a 23,000 square foot ESPA and membership to the Rose Hall Golf Association, which provides preferred access to the three area courses—White Witch, Cinnamon Hill and Half Moon.
The Palmyra is partnered with FirstCaribbean International Bank, offering services such as financing and mortgage brokering, which are available for the first time for Jamaican real estate purchases.
EMPLOYMENT:
It is estimated that 10,000 permanent and 10,000 construction jobs will be created by 2009 through the seven new hotel projects along the north shore by the international groups Iberostar, Secrets of Excellence, Riu, Grupo Pinero, Fiesta and The Palmyra. Additionally, 4,000 hospitality trainees graduate annually from tertiary institutions, creating a steady flow of skilled workers to the many developments.
ENTERTAINMENT:
Winter 2006
The Shoppes at Rose Hall, a $750 million complex, will open as a tourist entertainment center with more than 32 retail and restaurant outlets totaling 12,000 square feet of luxury shopping.
2007
Jamaica was chosen as the site for the 2007 ICC Cricket World Cup Championships, which is expected to attract 100,000 visitors over a period of nearly two months, infusing the economy and the Caribbean with hundreds of millions of dollars. In preparation for the event, a new $250 million stadium is under construction.
TOURISM:
The "Gold Coast" is experiencing a massive tourism boom, with 12,000 hotel rooms currently under construction. The total room capacity will increase 76 percent from 17,000 rooms to 30,000 rooms by 2009.
Riu Hotels & Resorts, a Spanish hotel chain, has an established 400-room resort in Negril. The hotel has since added 400 more rooms in a second island resort and Riu's third property, a $100 million development of 895 rooms, opened near Ocho Rios.
2003
Grupo Pinero of Mallorca, Spain, purchased 200 acres of coastal land for $180 million for an estimated 1,800 rooms, the largest single resort development in Jamaican history. This set off a string of investments beginning with Grupo Iberostar, also from Mallorca, purchasing land in Rose Hall for $110 million for the development of 950 rooms.
2004
Spanish Secrets Excellence purchased a 276-acre peninsula for $300 million for the development of 2,000 rooms. An additional 250 acres were acquired by Fiesta Hotels & Resort from Ibiza for the $200 million development of 1,500 rooms in the parish of Hanover on Jamaica's northwestern coastline.
2005
The real estate group famous for transforming hotels into thriving, vibrant properties, New York-based Blackstone Group, purchased the Rose Hall Resort & Country Club.
GOVERNMENT:
March 2006
Jamaica celebrated a historic event on March 30, 2006, when Portia Simpson Miller became the nation's first female Prime Minister. Active in Jamaican politics since 1974, Miller previously served as Minister and Deputy Prime Minister of the island.
Savvy investors have taken notice of the varied improvements occurring in Jamaica and are snatching up property at a heightened pace. With an emphasis on attracting growing numbers of tourists through additional lodging options, improved infrastructure and ease of travel, Jamaica is destined to provide a substantial return on investment.
