Opposite the bustling Nassau Bahamas Cruise Terminal, where it is common to see multiple passenger ships docked simultaneously, lies a tropical paradise featuring miles of white-sand beaches and turquoise waters.
The 17-acre area on the western end of Paradise Island, once home to mansions, has been acquired by the Royal Caribbean cruise line, an unexpected developer.
Building on the success of its private island, CocoCay, Royal Caribbean is expanding its offerings with a beach club set to open in December. The $165 million project will feature three swimming pools, the world’s largest swim-up bar, and themed beach zones.
Jay Schneider, Royal Caribbean’s chief product innovation officer, emphasized the aim to create an authentic Bahamian beach club experience that incorporates local art, music, and cuisine, while also providing American comforts.
While many cruise lines own private Caribbean islands, the exclusive beach club concept reflects a new trend amidst high demand for cruises and the continuous introduction of megaships. Carnival is also developing a beach club called Celebration Key on Grand Bahama Island, expected to open in July.
Some Bahamians, however, express concern regarding foreign investors pricing them out of their land and worry that these new attractions will draw tourism dollars away from local vendors. Market vendor Ray Jacobs noted that tourists might go directly from the cruise ship to the private club without engaging with the local economy.
In response to these concerns, Royal Caribbean has partnered with the Bahamian government, allowing Bahamians a 49 percent equity ownership stake in the project. Additionally, 1 percent of gross profits will be allocated to improving local attractions.
Latia Duncombe, director general of the Bahamas Ministry of Tourism, Investments and Aviation, stated the partnership aims to connect locals with tourism opportunities, which include approximately 400 jobs at the beach club.
Royal Caribbean plans to award contracts to local businesses for various services, including food, excursions, and entertainment, while also committing to sustainability practices in collaboration with Bahamian companies.
Despite the potential benefits, some Bahamians feel the government has been too lenient with foreign entities. Local entrepreneur Toby Smith, who sought to lease public land for a beach club project, expressed frustration after Royal Caribbean was awarded the land he had been negotiating for years.
Smith initiated legal action against the government, which has drawn attention to the prioritization of foreign investments over local initiatives.
Royal Caribbean has since amended its lease to exclude land previously promised to Smith and is undertaking construction on the site.
Many Royal Caribbean cruisers are looking forward to the beach club, often unaware of the local tensions it has sparked. Some passengers believe the beach club represents a positive development, providing a relaxing alternative after numerous excursions.
Royal Caribbean’s new Paradise Beach Club will aim for a distinctly Bahamian atmosphere, with a capacity limit set at 40 percent of cruise ship volume to ensure local attractions remain appealing to passengers.
Schneider mentioned that the company’s goal is to enhance the appeal and satisfaction of Nassau as a cruise destination, which has faced challenges in attracting visitors.
However, many local workers remain skeptical about the potential benefits of the beach club, fearing it will divert cruise passengers away from local businesses.
Concerns have also been raised regarding environmental impacts, as some locals observed significant land clearing for the project. Royal Caribbean has stated that it is removing invasive species while preserving native trees and plans to replant them alongside new species.
While some locals express skepticism about the government's collaboration with Royal Caribbean, others see the new jobs created as a positive step for the tourism industry. Derek Schofield, a logistics worker, noted that while individual earnings may decrease, the project could ultimately benefit the broader tourism economy and provide more opportunities for Bahamian families.