Jamaica: Government to Reopen Bidding for St. James IR License

For more than a decade, the government in Jamaica has been exploring options that may boost tourism and visitation. One concept that captured the attention of lawmakers is the development of integrated resorts (IRs) that can include hotel accommodation, dining and shopping outlets along with other amenities, including casino gambling.

The New Bid for an IR Is Expected to Open Soon
Several years ago, Jamaica opened a bidding process for two IRs. That process resulted in the awarding of one license but the second one failed to meet the requirements. As a result, earlier this week, the Ministry of Finance and the Public Service confirmed that another public invitation for license applications for the St. James geographical zone will open.

The Portfolio Minister, Dr. the Hon. Nigel Clarke, released a statement confirming the Ministry of Finance’s intentions on October 1 in a statement to the House of Representatives, as announced by Jamaica Information Service.

The government set a range of requirements for future integrated resorts. Each IR must offer a minimum of 1,000 hotel rooms and involve an investment of a minimum of $450 million. From the aforementioned number of hotel rooms, at least 500 need to offer luxury accommodation. Further amenities the resorts need to offer, as confirmed by Clarke, are different shopping and dining outlets, spas, recreational facilities and last but not least, casino gambling.

Integrated Resorts Bring a Range of Opportunities
Dr. Clarke spoke about the process initiated by the Ministry of Finance back in October 2021 that sought to award two licenses to applicants for an Approved Integrated Resort Development (AIRD) for St James and the combined zone of Hanover and Westmoreland.

The bids were reviewed by an Enterprise Team that was developed with the goal of analyzing the proposals and determining if they are suitable for a license. Following an extensive review, the Enterprise Team recommended the applicant for an AIRD license for the Hanover and Westmoreland zone for approval. Subsequently, the applicant secured a license last August.

However, the bidder for the IR for the St James geographical zone “had not provided sufficient evidence,” as explained by Clarke. He added that due to this, the applicant did not fulfill the requirement for financial disclosures set by the Enterprise Team. As a result, the applicant did not receive a recommendation or a license.

The development of IRs can significantly propel the local economy of Jamaica. Such venues not only serve as tourist hot spots but also help attract further investment and impact positively local businesses. At the same time, large-scale IRs create temporary workplaces during construction and grant permanent employment opportunities once they open.