Premier says St. George's Golf Club 'haemorrhaging financially' and has to close this summer

Premier Ewart Brown has defended the sudden closure of the St. George's golf course saying it was losing too much money.

However Opposition leader Kim Swan, who opened the course as its general manager in 1985, questioned the timing of the closure saying Government should have waited until another public course, Port Royal, was reopened. It is currently undergoing $14 million renovations.

The news of the closure was revealed two weeks ago and since then unions have expressed fears over the future of the staff who work at the course.

However the Premier, who is also Minister for Tourism, said talks had taken place with the unions about the staff and they will be placed in other Government positions.

Dr. Brown said: "The St. George's Golf Club has been a perennial money loser for a while now.

"With the closing of Port Royal, we expected to see a significant increase at St. George's, however, Ocean View has increased over 30 percent and St. George's less then five percent and it continues to haemorrhage financially.

"Unfortunately the course as it is, has not picked up as much as it should have. The demand was not there, I was approached by the Board of Trustees who recommended it be closed and I agreed."

He added: "The Port Royal golf club will be opening in January 2009 which is our golf and spa season, and since the US PGA Grand Slam of Golf, people have been flocking here and I believe, will continue to do so during that time."

The Grand Slam took place in October last year and involves the winners of the four Major golf championships.

Mr. Swan said: "There is already Port Royal golf course closed and a number of people come to Bermuda to golf, it is a major part of marketing for tourism.

"I opened the club to provide a golfing component for St. George's and to compliment the hotels from Grotto Bay to St. George's Club, as a medium priced golf course that everyone of all walks of life can take part in."

Mr. Swan feels Government should have waited until the Port Royal course was back in operation before they closed down St. George's, as it is right in the middle of the tourist season.

He also questioned the financial state of the golf course, as he has not seen an annual report from the St. George's Board of Trustees this year.

Government is working with Carl Bazarian to redevelop the Club Med hotel into a luxury Park Hyatt hotel. The plans include a redesign of the course by former top UK golfer Nick Faldo.

The Premier added: "It is in his design to expand the golf course by more than 1,500 yards which is unheard of.

"The new golf course will be open to the public and will not be private. Government policy will be that all Bermudians will be given a 50 percent discount to play on the course."

When asked about the current members that frequent St. George's Club he said: "The current members of the St. George's Club will be able to use the facilities at the Ocean View Club."

Tourism Board chairman and St. George's resident, E. Michael Jones said of keeping the course open until Port Royal finished: "Ideally it would be nice to keep it open but many people who were using Port Royal are not coming to St. George's.

"Also once the demolition of the Club Med starts and the infrastructure is down then there will be no electricity or water for the course, as supplies come from the Club Med facility.

"The restaurant will not have any utilities either which will hamper those that want to enjoy the beach. But the work has to be done and is long overdue as the building has been like it has for over 20 years.

"Golf is considered a serene and tranquil sport, with pipes dug up from underground all over the course to accommodate the construction, the golfing experience will not be pleasant."

When asked about the current state of St. George's and the upcoming tourist season, Dr. Brown said that he would consider the state of tourism in St. George's as pre-launched.

"St George's as a town is on the verge of enjoying new life, particularly with Park Hyatt as the initial step and the golf course as an amenity that will make it even more desirable.

"Currently, with St. George's we are saying 'pardon our progress', as with any construction project, there are times when things would not look appealing."

"The projected date of the Park Hyatt hotel and Spa is for 2011 and I believe it will be opened by then as Carl Bazarian of Carl Bazarian International has said.

"He is well known for his accomplishments and his reputation is on the line."

The Premier announced in April that Bazarian International was to develop the former ClubMed site for the Park Hyatt hotel chain with numerous amenities to be included such as a 12,000 square-foot spa and fitness centre, a beach club, a staff housing facility and the redesigned golf course.