Sandals Makes Distressed Buy

All inclusive resort company Sandals has acquired the Four Seasons Great Exuma at Emerald Bay in the Bahamas, which shut its doors in May because of the economic downturn. Although the buyer does not say how much it paid for the 500-acre property, industry sources estimate it paid “under $100m.” Construction of the resort required a $350m investment. According to the Bahamas government, the resort’s owner-developer Emerald Bay Resort Holdings defaulted on a $120m construction loan from Mitsui Sumitomo. Shortly afterward, in June 2007, PricewaterhouseCoopers was appointed as receiver. The resort will be renamed Sandals Emerald Bay and reopen in January.