Cruise port scales down

| 08/02/2011

(CNS): As plans for the development of the George Town cruise berthing facilities move ahead with a new partner, the chair of the Port Authority has said that it now has a very different scope from that proposed by Dart. Local contractor Royal Construction with its partner, marine contractors GLF, is planning a scaled down proposal that will be financed on cruise fees rather than through an expansive upland element. DECCO, Dart’s contractor, pulled out of project at the end of last year after the developer was unable to reach an agreement with government over the terms of the lease, on which it was intending an extensive upland development that would finance the whole project.

As the Royal/GLF proposal is considerable less complex or ambitious, focused on the two cruise piers – four berthing docks — and an upland terminal, costs are expected to be considerably less than $150 million. This means the contractors will in turn have a considerably smaller shortfall to make up between the cost of the project and the cruise lines guaranteed passenger fees. Although it is not yet certain how the contractor will make up the shortfall, passenger arrivals are likely to far exceed the figures which the cruise lines would be able to guarantee as a result of the increase in cruise passengers generated by the development.

Chair Stefan Baraud told CNS that negotiations with the cruise lines were now going well as they are all very keen for the Cayman Island to take on this project and develop the facilities. With substantially different plans, the contractors will also be looking at the design and construction methods for cost savings on the original estimates in order to get the basic berthing facilities and terminal completed in the first instance.

“Significant progress has been made and the contractor is moving at a pace that makes me confident that the project will be underway this year,” Baraud added. He said the next major milestone was on 17 February when the new plans for the berthing docks will be tested at the Star Centre in Fort Lauderdale on the simulation, mock-up in various weather conditions and circumstances.

The other major issue is the Environmental Impact Assessment. The chair said that Royal/GLF are already talking to the Department of Environment and the next stage will be to see if the work done by Dart is relevant and sufficient for this particular development. Baraud said that as yet the EIA which was undertaken by Dart has not been handed over as there are still commercial issues relating to that.

Without the deep pockets of Dart, the Royal/GLF partnership will be securing outside financing in order to begin the project, which the chair said should be in place before the end of next month and if all goes well with the simulation exercise and the EIA, the change in developer does not mean a dramatic change in time line and Baraud said he is still anticipating that the project will break ground this summer.

Getting the construction underway would be a significant boost, not just for the local tourism industry but the construction sector as well, as the developer estimates there could be as many as 200 jobs going for local people. 

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  1. Robert says:

     I guess it be like that borrowed loan that fell thru! 

  2. Marek says:

    The only part of this that bothers me is. "Now they will seek financing".

    I am a bit lost how a company can be awarded a contact to build something when they don’t have the financing in place… to build it.

    I applaud the efforts and support the port, but just think it’s alittle late in the game to be shopping for cash.

    • Anonymous says:

      It has always been Mac’s intent to have the FCA facilitate the berthing facilities through a surcharge to the passengers, I can’t imagine why anyone would thing that had changed.

  3. Ray says:

    Giving credit where due this appears to be sensible. Not sure why the huge sope of the previous developer was even considered. However, it is interesting that it appears that the developers are making proposals instead of building what the Government requests.

  4. Anonymous says:

    delays, delays, delays…nothing gets done….
    no wonder the turtle is the national symbol of the cayman islands….

  5. Anonymous says:

    If Mr. Baraud is succesful in getting the project started it would mean there should be no need foran EE port project. We would have meg yachts and cruise ships in town.

    • Anonymous says:

      Well now, that would depend on the nature of the scale down, wouldn’t it? (vis-a-vis the megayacht port.) — Not, of course, that megayachts are a rationale excuse for a whole in EE or a channel in the North Sound either.

  6. comic says:

    Venue: a run-down secret meeting somewhere. Chairman: “Silence please! Silence please! Stop weeping! Members of the ppm clan, we will like to make the grand and glorious announcement that we, the glorious ppm plus Alden’ party, can do a better job than those UDP-dart supporters.” *** Crowd of 2 supporters cheer *** Alden (lost) stands up and replies to the Chairman, “but how? I tried in 2005, I tried in 2006, and I tried in 2007 to keep us out of an 81 million deficit, yet MB a.k.a BIG MAC is practicing some kind of white magic!” Arden from East pats poor Alden on his back, “Now, now, now, my dear child, be strong, don’t bust a tear, Ezzard Miller will save us alright, you’ll see.” Chairman: “Alright men, come on, stop hugging and holding hands… please you’re making me start to cry too, let us see how much unemployed will come out from this Cruise Berthing Facility.” THE END

    • Jess says:

      LOL… poor PPM… the project may create more than 200 jobs. This Saturday, they are electing a new leader for their party. Heard its Alden Mclaughlin. GOD HELP US!

  7. Anonymous says:

    The Chairman was right in what he said about Decco’s start date in the first quarter. If Decco was still the developer the project would be underway now. Unfortunetly it was Government and not the port board who cancelled Decco’s agreement because of a long term lease.

    • Anonymous says:

      It was a smart move by Government when you think how long the lease was

  8. Anonymous says:

    To bad Chuckie, I thought you were going to get another chance at building the dock!

    Oh thats right you were the one who ignored the cruise lines back in 2005 and now the country has you to thank for not having a dock. I’m glad to hear the cruise lines are talking to us again.

    • Anonymous says:

      Dufus you drank the kool aid too ? My God……..did you forget how many meetings Chuckie had with the cruiselines. He even hosted the 13th Annual Florida Caribbean Cruise Association conference here which attracted over 1200 delegates……the largest conference ever in Cayman and the largest FCCA conference to date.

      If the UDP had followed Chuckie’s cruise and cargo port plan we would have had one cruise pier built now with the cargo facilities underway and the second pier started in 2012.

      But what did the UDP do…….they abandoned the plan and set us back 2 years with nothing but talk so far.

      What is the cost of that decision ?……a 25% decline in cruise tourism in 2011 thanks to the UDP.

      Stop drinking the UDP kool aid nah !

  9. jess says:

    We need this so much for our Tourists. I recall Mckeeva and Dart were getting all the negative attacks. I kid you not! The negative bloggers were saying that the Premier made plans with Dart to take over the island, and the fundamental way of doing it, was to have him control the Port. Now… enough with their silly conspiracy theories! What a laughing stalk they have made themselves into! Another Caymanian company has now decided to do the massive project, and it all looks positive!

    • Anonymous says:

      No, No, it doesn’t look any more positive than it ever did. This is still going to be a zit on Cayman’s face.

  10. Anonymous says:

    Lets hope things get started quickly. We have a lot of Caymanians depending on this project, Taxi’s, Water sport operators, Retailers, tour guides that need this project to happen. Good job to the port board and team on getting close to a start date.

    • Anonymous says:

      Actually, none of those people are depending on this. They are banking on it in order to make more money, but they are not depending on it. Or did you not notice the report on the increasing tourism numbers, without the new dock. If Cayman was serious about tourism we would be working on the stay over market (a lot more money in to the pocket of those bussinesses you site than they get from cruisers). However, if Cayman really looked at the costs and benefits of projects and published them, well, the emperor would get laughed at.

  11. Anonymous says:

    I understand this is a complex project and there has been some set backs and false starts.

    I built a house once and it took me forever to get started, i cant imagine how difficult of a job this must be.

    I’m not overly worried about start dates provided it happens within the year. It seems that GLF know what they are doing.

  12. Outside the Box says:

    What a waste? What do we need this for? God gave us a beautiful natural harbour in the North Sound and created dredging equipment with which we can make it deeper. I say dig the channel wide and deep enough to not only allow the mega yachts in but the cruise ships as well. Might as well kill two birds with one rock stone. The cruise piers need to be in the North Sound.

  13. Sachamo says:

    I agree, get it done and get it done now!

  14. Anonymous says:

    Great News on the progress being made! Lets get the project going.

  15. Anonymous says:

    Hopefully this means the plans for a heli-port across from Burger King will be shelved. It will be nothing but noise, dirt, and distraction if allowed to proceed. Having the helicopter flying overhead a few dozen times a day is bad enough now – a larger port arrangement will make it even more annoying to those north of the cruise ships.

  16. Anonymous says:

    according to mr. baraud negotiations have always be going well!!!….how many times has the start date changed????…still on course for this summer????…last time i heard it was 1st quarter of 2011….zzzzzz

    • Just look says:

       How about taking a look at "The Western Cruise" itinerary Mr. Baraud???

      Just simply go to Roatan and see what was built there very quickly and without great expense.  They also have DIRECT flights from Europe eatig up the tourism competition.

      This does not have to be another jobs for boys contract!  

      Cozumel also has a better cruise ship port……I went on the Western Caribbean Cruise itinerary on a high end ship and the only BAD port was Cayman.  We have a better island, worse port.  

  17. Anonymous says:

    more flip-flops, delays and u-turns…… maybe after 2 years of negotiation, mr. baraud should re-consider his position….

    • anonymous1 says:

      now you’re attacking my cyclist friend of flip-flop and making u-turns, as if there is something so wrong in making a decision and changing it due to circumstances. this is something that will impact our country for years, why should he be spontaneous and stick to a one-track-decision that could cause serious harm to the country? Please don’t give crappppp! Mr. Baraud’s u-turns are necessary!

    • Anonymous says:

      Hey, at least after 15 years of Cayman businesses saying that a port was needed, one is finally being built. I can live with the delays as at least now its certain to happen. What have you done to get the port built? Besides sit there and whine?

      Would you like some cheese with that?

      • Anonymous says:

        Yes, for 15 years the greedy light in their eyes has been shining as they cried that they would be out of business without Government putting massive resources into an unsightly boondogle for them. But the facts have not born them out. Why do you believe them now? is it just that if something is repeated often enough it must be true, even if there is no evidence to back it up?

  18. Anonymous says:

    Please include a few mega yacht docking spots so that we don’t have to build another huge facility somewhere else (damaging that much more of our natural environment in the process).