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Caneel Bay Beach Opens as VINP Continues Phased Redevelopment

Caneel Bay Beach Opens as VINP Continues Phased Redevelopment 1

Good Morning! We have an update for you and it is filled with good news. Caneel Bay Beach opened to the public August 1st with free entry and parking from 7:00AM to 5:00PM!

Caneel Bay Beach Opens as VINP Continues Phased Redevelopment 2

A path has been cleared to Caneel Bay Beach which is located in front of where Zozo’s restaurant and the main lobby of the former resort is located. There are three parking lots available with signs in place to direct visitors to and from the public parking areas to Caneel Beach with trash cans and Port-o-Johns along the way. The closest is where the parking lot for visitors was formerly located. It has disabled parking spaces. The other two are located at the former employee parking and Maintenance area.

Caneel Bay Beach Opens as VINP Continues Phased Redevelopment 3

There is also access to a designated viewing area of the historic ruins of Caneel’s Durloo Sugar Plantation that is currently fenced off while renovations continue. There has been significant removal of debris and bush on the property, especially surrounding these sites. They are a key point of interest of the significant events during the 1733 African Revolution on St. John.

Caneel Bay Beach Opens as VINP Continues Phased Redevelopment 4
Most of the property is still fenced off due to hazards of entering at this time. The public is advised to use designated public areas only, and not enter areas that are still closed due to remaining safety risks.

Caneel Bay Beach Opens as VINP Continues Phased Redevelopment 5

Visitors and boaters should be aware that the adjacent Caneel Beach dock will not be open for use. Also, there will be no access to Caneel Beach via trails or foot traffic from Honeymoon Beach at this time. Honeymoon Beach will continue to be open to the public and is accessible by the Lind Point Trail or by shuttles from the Caneel Bay entrance and by boat. There is currently no land access to the other Caneel Bay beaches; Little Hawksnest, Turtle Bay and Scott Bay. However Superintendent Del Bene stated that public access to all Caneel Bay beaches would be a requirement for any future prospective developer. The beaches continue to be accessible by water 24/7 as this is Virgin Islands law.

Caneel Bay Beach Opens as VINP Continues Phased Redevelopment 6

Caneel Bay Club at Honeymoon Beach, Zozo’s Restaurant and the water plant will continue to operate with a Temporary Commercial Use Authorization. Zozo’s closed June 14th for the season, but plans to reopen in December. The restaurant cannot be accessed from Caneel Bay Beach.

Caneel Bay Beach Opens as VINP Continues Phased Redevelopment 7

The Caneel Bay Beach Club remains open and has no plans of closing for season. The shuttle to Honeymoon Beach is currently $6/pp each way. It operates only until 2pm going to Honeymoon Beach and 4pm returning to the parking area. https://www.caneelbaybeachclub.com

Caneel Bay Beach Opens as VINP Continues Phased Redevelopment 8

You may have already heard the great news that on On April 22, 2024 Third Circuit Judge Cheryl Ann Krause affirmed the United States’ ownership of the land and ordered EHI Acquisitions, LLC to convey and transfer title of the improvements immediately. The ruling ended a long court battle over ownership of the resort that was managed by CBIA since 2004 under an agreement known as a Retained Use Estate. Details can be found in my two previous articles https://newsofstjohn.com/what-is-currently-happening-with-caneel-bay/  and https://newsofstjohn.com/caneel-bay-part-ii-what-is-this-rue-all-about/

Caneel Bay Beach Opens as VINP Continues Phased Redevelopment 9

The U.S. District Court clearly sided with the government, noting that the documents were unambiguous in their intention to transfer the land and improvements  “by way of gift, without consideration except the nominal consideration” of $1 as described in the 1983 indenture. Judge Krause continued her ruling that “The parties did not intend to make the improvements’ transfer contingent on payment,” , reasoning that the reversion clause in the indenture links the fate of the land with that of the improvements thereon.  “To keep the land, the Government would have to accept the offer of the improvements. But if that offer were conditioned on payment, then the Government’s retention of that land, in effect, would also be conditioned on payments….meaning it would no longer be a gift,” noting that this outcome “would be contrary to the parties’ stated intention, which we are bound to honor.”  The indenture is very clear as to Rockefeller’s intention for the resort, Judge Krause said, quoting the document’s second paragraph. “The parties, both nonprofit entities, desired the Caneel Bay Resort to become part of the Virgin Islands National Park,”.

Caneel Bay Beach Opens as VINP Continues Phased Redevelopment 10

When asked in a public meeting on June 5th if EHI or CBIA will be allowed to participate in the bid process to select the next developer, Park Service Concession Manager Paul Jones said that “anyone will be able to bid.”  Acting Superintendent Penny Del Bene added that, “legally, we have no way to disqualify potential bidders.” However, she added that all relations with those entities have terminated. EHI/CBIA principal, Gary Engle, still has ownership of the Fuel Dock and the Caneel Hill Apartments across from the Virgin Islands National Park headquarters in Cruz Bay.

Caneel Bay Beach Opens as VINP Continues Phased Redevelopment 11
The initial environmental cleanup phase at Caneel Bay began in January and focused on removing ACM debris from 2017 Hurricanes Irma and Maria. NPS and its contractors removed debris from three areas near Little Hawksnest, Scott Beach and Turtle Point. The work only involved asbestos-containing hurricane debris no longer attached to buildings and did not include demolition. The asbestos-contaminated buildings will need to be dealt with by the winning developer.

Caneel Bay Beach Opens as VINP Continues Phased Redevelopment 12

Work commenced right away as Stateside rangers arrived from Pennsylvania to take over the front gate and begin the clean-up efforts.  317 cubic yards of nonfriable asbestos-containing material (ACM) debris was properly bagged and transported to a permitted Florida landfill for disposal that is equipped to accept the toxic materials. NPS is also working with contractors to remove fuel-contaminated soil on the property and site remediation at a former landfill near Honeymoon Beach.

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 In terms of the costs, Park management was asked if the Park Service could sue the previous operators to recover hurricane-related insurance proceeds that were not used to clean up the property after the 2017 storms. Currently the Park Service is funding the cleanup, but they’ll be working with the Solicitor’s office to determine the responsible party and will hopefully receive some reimbursement.

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Although Mother Nature has beautified herself on the property, the NPS clean-up efforts will likely take some time.

The National Park Service’s ultimate mission is to create a presence on site that gives visitors a sense they are at a national park; to educate the public with regards to the rich cultural heritage and history of the island; and to ensure that the significant resources remain protected. 78 acres of the 150 acre property will be set aside as a Conservation Zone managed by the National Park and kept in its natural state. Visitors will have access to these areas through existing roads and trails including the Turtle Point and Hawksnest trails.

Caneel Bay Beach Opens as VINP Continues Phased Redevelopment 15
A 42-page Request for Qualifications was released on July 29th which is the first stage in the procurement process to rehabilitate overnight accommodations similar to the former Caneel Bay Resort.
A Request for Qualifications, or RFQ, gives an overview of the project and asks potential developers to state their skills and experience for the type of project being planned.  The National Park Service will then examine the responses and invite selected developers to submit more detailed proposals during a second stage known as the Request for Proposals. It is unclear whether the public will have any input into these negotiations as National Park Service Southeast Regional Director Mark Foust will make the final decision of the 1 and only RFP that is selected from the RFQs.  More details can be found here …https://parkplanning.nps.gov/showFile.cfm?sfid=665111&projectID=101399  

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Although the details of the RFQ are still being finalized, Del Bene said a future developer may construct up to 166 overnight units, the same number that was in operation when the hotel closed in 2017. Ultimately, the developer that is selected will also be responsible for demolition and clean-up of the hurricane-damaged hotel buildings and will require some form of access to all Caneel Bay beaches in their proposal. About 67 acres would be designated for hotel operation and development would occupy essentially the same footprint as the previous resort. 

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Caneel Bay Beach Opens as VINP Continues Phased Redevelopment 18

In a public meeting held on July 10th, the Park Service announced plans to also solicit bids from prospective vendors for commercial services and other amenities within several designated community spaces. The FONSI plan specifies that these areas also be used for public events, even suggesting an amphitheater overlooking Little Caneel Bay. Concessions Manager Paul Jones said that the Commercial Use Authorizations (CUA) will favor local residents with new guidelines to be implanted in 2025. An online Application is required and can be found here: https://www.nps.gov/viis/getinvolved/dobusinesswithus.htm  

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“We thank our neighbors and visitors for their patience as we work towards re-establishing visitor services at Caneel Bay,” Virgin Islands National Park Superintendent Penny Del Bene said in her press release. “Our goal is to invite Virgin Islanders and visitors back to Caneel Bay as soon as safely possible. The full reopening of the Caneel Bay Resort will take time, and we ask for your continued understanding.”

The following is a Link to Future Plans NPS  http://npshistory.com/publications/viis/caneel-bay-redev-mgt-ea-2023.pdf

 

Caneel Bay Part II – What Is This RUE All About?

Caneel Bay Part II - What Is This RUE All About? 20

In 1977, Laurance Rockefeller separated the “Premises”, the land that Caneel Bay Plantation sat on, from the “Improvements”, the structures and operation of the resort. 150 acres of the “Premises” were deeded to the Rockefeller family land trust, Jackson Hole Preserve, Inc. (JHPI); the structures or “Improvements” on that land were kept by Caneel Bay, Inc. with a future Deed that would revert the “Improvements” to Jackson Hole Preserve on September 30th, 2023

Read moreCaneel Bay Part II – What Is This RUE All About?

What is currently happening with Caneel Bay?

What is currently happening with Caneel Bay? 21

What is the fundamental issue between the U.S. Government, NPS and  EHI/CBI Acquisitions?  The following 3 Part Article will attempt to delve into some of the key components of the 1983 Indenture, scripted by Laurance Rockefeller in 1983, that outlines the Retained Use Estate (RUE) leasehold within that document which is central to both parties’ pending Motions for Summary Judgement. The author will do her best to explain the facts in detailing what has already transpired and what the future may hold.

Read moreWhat is currently happening with Caneel Bay?

Caneel Bay Update: NPS Announces Future Plans for Resort Development

Caneel Bay Update: NPS Announces Future Plans for Resort Development 22

Good Afternoon everyone!  I hope that all of you have been well…I have absolutely missed sharing the stories of St. John with you!  When this one hit the interwebs last week, I was so excited to be able to report back to you on the new developments in the Caneel Bay story.  In March, the National Park Service concluded the second public comment period in regard to the fate of the Caneel Bay Resort, stating that they would release the results by late Spring.  In the true spirit of Island Time, we finally received word from them last week about the completion of the Caneel Bay redevelopment and management environmental assessment (EA) and their decision to move forward with the development of overnight accommodations at Caneel.  But this time with more emphasis on public access, conservation and potential community collaboration.

Read moreCaneel Bay Update: NPS Announces Future Plans for Resort Development

Caneel Bay Update- CBIA and EHI File Lawsuit Against US Government For “Quiet Title” Ownership

Caneel Bay Update- CBIA and EHI File Lawsuit Against US Government For "Quiet Title" Ownership 23

Good Morning, Good Morning….I have some, um…Interesting news for you all this morning.  It might read like rainbows and sunshine in regards to the immediate future of Caneel Bay Resort at first glance.  But, I urge you to take a closer look at what we have been talking about over the past several years in regards to Caneel Bay Resort, the state it has been left in and the seeming lack of empathy for the local community prior to the filing of this lawsuit.  In which, EHI, LLC and, its affiliate, CBI Acquisitions lay claim to the ownership of the property upon which Caneel Bay Resort rests.  Which, as we know it, is National Park land with a management company responsible for the operations of the resort.

Read moreCaneel Bay Update- CBIA and EHI File Lawsuit Against US Government For “Quiet Title” Ownership