|Turks and Caicos Net News, Grand Cayman,
Cayman IslandsMcClatchy-Tribune Regional News
Jul. 25, 2009--The much touted seaside resort of Royal Reef never reached completion and, in fact, is somewhat less than half finished. Located on a 17-acre prime piece of real estate at Sandy Point, North Caicos, it has now been put up for sale. Credit shortfalls and slow or non-existent presales of condo units caused the project to shut down in 2007.
The development, said to be worth in excess of $160 million when completed, is reportedly for sale for US$37 million. Located near the upscale resort areas of Parrot and Dellis Cays, it appears to be an attractive investment for the right person or organisation. The resort proper is incomplete but another building close by, meant to house the working staff, is complete. This building itself is an attractive and valuable piece of property.
Late in his administration, former Premier Michael Misick announced that within one year his home island of North Caicos would start looking like another Provo. This announcement was met with mixed emotions, as North Caicos has been called one of the places to get away from it all -- the garden island.
Royal Reef is one of three major developments that had been started under the Misick administration.
St Charles Place, a large condo-hotel named after Misick's father Charles Misick, located in a prime beach area next to the new community pavilion and party centre at Horse Stable Beach, was to include four large buildings with multiple units and the units were selling for upscale prices. One building was built and opened. Years later, it has yet to be sold out.
Another project is the North Caicos Yacht Club at Sandy Point. A series of canals were dug connecting to the channel between upscale Parrot Cay and North Caicos. Lots were staked out and put up for sale. It was reported that some were sold and construction of private homes on the canals was to begin in February 2008. The first home has yet to be started. One canal is being used as a marina and landing area for the high speed Provo/North Caicos Ferry services and the Parrot Cay launch, which carries guests and staff from North Caicos to Parrot Cay.
Observers in the real estate industry and long term business people of North Caicos all seem to agree that the price levels are too high for North Caicos. It would appear that the development costs at these locations were reasonable enough as close by is a barge landing area. North Caicos also has an on-island concrete plant and road pavement facility.
"Only the Lord knows how Misick manipulated the developers into the mind set of these exorbitant prices," one local business person told TCI Net News, asking that his identity be withheld.
He went on to say, "Royal Reef does appear to be a opportunity for the right person who is capable of financing the entire project without relying on presales. The location is outstanding and the value when complete must escalate."
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