Republic Bank is expanding its interest into tourism, granting a US$34 million senior term loan to the Royalton Grenada Resort and Spa as part of a US$80 million investment in the hotel, in Tamarind Bay, Grenada.
A senior term loan is similar to a bond, with set repayment schedules and a bullet repayment. In some instances, the interest (accrued) is added to the principal and all paid back at the end of the loan.
The Royalton Grenada is expected to open in March 2020, offering 212 luxury rooms or 49 Diamond Club luxury suites.
The hotel will be managed and operated by Blue Diamond Resorts as part of a new strategic alliance with Rex Resorts, the former owners and operators of The Grenadian Hotel.
Blue Diamond Resort is the hotel division of the Sunwing Travel Group, North America’s largest vertically integrated travel. In addition to Blue Diamond, the company owns two leading tour operators, a commercial airline, a luxury private jet charter service, travel retail businesses and a destination management company.
Sunwing also has seasonal (winter) flights between Toronto and Tobago, starting last year and through its Rex Resorts alliance, acquired the former Turtle Beach Resort, now renamed Starfish.
Sunwing’s CEO, Stephen Hunter, had previously said his intention is for the Royalton to become one of the leading all-inclusives in the world.
Keith Johnson, Republic Bank Grenada’s managing director, via a release on Friday, said Grenada is happy to welcome the brand to the island.