Studies being conducted to improve value of Marriott Hotel
DPI, Guyana, Friday, January 12, 2018
The Government is looking at ways to improve the value of the Guyana Marriott Hotel located at Kingston, Georgetown, before deciding whether it can be sold as shares or attract investments.
This was disclosed today by Minister of State, Joseph Harmon, during a post-Cabinet press briefing, where it was also noted that a recommendation has been made for preliminary improvements to be made, geared at increasing the value of the asset. The development of an entertainment complex is one such initiative.
“The persons who analysed the asset itself felt that if we were to bring it to a certain point where the entertainment complex is dealt with as part of the entire package then we are likely to have a better price,” Minister Harmon said.
In 2017, Atlantic Hotel Incorporated (AHI) announced that public tenders were issued for the construction of the Entertainment Complex and Casino of the Hotel.
AHI, which is the special-purpose company established to manage the Marriott, through its board member, Larry London said since Government is handling the hotel’s debt, moves can be made to complete the Entertainment Complex, which is posed to attract great finances.
Guyanese, the State Minister noted, will be better served if the value of the asset is increased.
It was also highlighted that the Government was able to meet the obligations, which the Marriott accrued, through the use of state resources.
However, Minister of Finance Winston Jordan has made it clear that this will be a time-bound obligation and the Government will have to move to a point where it will no longer have to meet these obligations through the Consolidated Fund.
The hotel was constructed under the previous regime, despite concerns that it would be a risky investment, which utilised enormous funds over US$50M from the public coffers.
By: Stacy Carmichael
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