Friday 3rd July 2026

Grand Bahama is emerging as one of the Caribbean’s largest investment destinations, with more than US$3.5bn in public and private sector projects either underway or in advanced planning as the Bahamian government pushes ahead with an ambitious strategy to transform the island into a regional hub for tourism, trade, logistics and industry.

Speaking during the 2026/27 Budget Debate, Prime Minister Philip Davis described Grand Bahama as a model of national progress, pointing to a surge in tourism, major infrastructure investments and a pipeline of developments expected to reshape the island’s economy over the next several years.

According to Davis, visitor arrivals to Grand Bahama increased by 91.2%, surpassing 1mn visitors and making it the fastest-growing destination in The Bahamas. He also highlighted reforms in the island’s energy sector following the government’s acquisition of the Grand Bahama Power Company, which has resulted in lower electricity bills for many consumers.

The Prime Minister praised Grand Bahama Minister Ginger Moxey for driving the island’s transformation, stating that she is “transforming the old symbols of stalled development. The International Bazaar and Royal Oasis into a future Afro-Marketplace,” while also advancing housing initiatives, neighbourhood renewal and employment programmes.

At the centre of the island’s investment drive is the US$827mn redevelopment of the Grand Lucayan Resort by Concord Wilshire Capital. The mixed-use project will feature a new 550-room Hilton-branded hotel and casino, expanded family accommodations, a second casino linked to a cruise resort, a mega-yacht marina, more than 20 restaurants and international retail facilities.

Demolition at the Grand Lucayan site began in April after months of speculation over the project’s future. Concord Wilshire Chief Executive Officer Richard Bosworth dismissed reports that the development had stalled. “We want to be very clear: the redevelopment of the Grand Lucayan Resort is moving forward,” he declared.

The redevelopment is expected to receive a significant boost from MSC Cruises, which plans to acquire approximately 20 beachfront acres within the resort to develop the MSC Beach Club, an exclusive destination for passengers travelling on MSC Cruises and Explora Journeys vessels.

Concord Wilshire President Nate Sirang said the cruise-focused developments would become a major catalyst for economic activity. “Together, the MSC Beach Club and the Ancient Waters Cruise Resort are projected to welcome more than 1mn guests annually,” Sirang said. “Combined with the activation of the Mega Marina and Casino Resort, this development will generate substantial economic activity, create meaningful employment opportunities… and will serve as the cornerstone for the long-anticipated revitalisation of the Lucayan property.”

Beyond the Grand Lucayan redevelopment, MSC Cruises has committed US$450mn to develop a new cruise port at Freeport, featuring a dedicated pier, terminal, beach club and retail village. A further US$50mn will be invested in harbour infrastructure upgrades, while plans also include facilities capable of accommodating larger XL-class cruise ships as Grand Bahama targets 4mn annual cruise passengers by 2028.

MSC’s wider investment programme in The Bahamas, including upgrades to Ocean Cay MSC Marine Reserve and the development of a second private island destination, is approaching US$1.5bn and is expected to create more than 1,000 jobs.

Royal Caribbean is also positioning itself to become a major investor in Grand Bahama. The cruise company has reportedly completed the acquisition of the long-closed Xanadu Beach Hotel for approximately US$30mn and is close to finalising the purchase of adjoining properties to create a 28-acre private beach destination for its passengers.

According to the Central Bank of The Bahamas, Royal Caribbean and Celebrity Cruises have already received government approval to acquire a 40-acre site for a US$348mn recreational and entertainment development. The project would complement the company’s partnership with MSC in expanding Freeport Harbour while creating another private cruise destination on the island.

A Royal Caribbean spokesperson said the company continues evaluating opportunities in The Bahamas. “We are always assessing our portfolio and continue to explore future projects to offer the best vacation experiences for our guests and drive economic growth in the communities we visit,” said the statement.

The investments align with the Davis Administration’s broader vision of positioning Grand Bahama as the country’s principal gateway for regional commerce. “Grand Bahama will become the gateway to the Caribbean for trade, tourism, and investment,” read an excerpt from this year’s Throne Speech.

Earlier this year, British airport operator, Manchester Airports Group (MAG) were appointed by the Government of The Bahamas to operate and develop Grand Bahama International Airport (GBIA).  The UK’s largest airport group are charged with overseeing the airport’s long term redevelopment, including delivery of a new passenger terminal and upgraded infrastructure.

Alongside tourism developments, the strategy includes the Afro-Caribbean Marketplace and Logistics Centre, reforms involving the Grand Bahama Port Authority, industrial investment initiatives and infrastructure improvements designed to strengthen Freeport’s role as a regional logistics and commercial hub.

If the current pipeline of projects proceeds as planned, Grand Bahama could experience its largest wave of investment in decades, fundamentally reshaping the island’s economy, significantly expanding tourism capacity, creating thousands of jobs and reinforcing its position as one of the Caribbean’s leading centres for trade, logistics and cruise tourism.

Source: Caribbean Insight – Volume 48, Issue 13