By LINDSAY THOMPSON,Guardian Business Editor lthompson@nasguard.com

Montana Holdings Limited is seeking the return of the 126.26 acres of land in Rum Cay prior to the start of its proposal, to develop 870 acres into a $90 million leisure resort development, Minister of Financial Services and Investments told Parliament on Wednesday.

Mrs Allyson Maynard-Gibson also tabled in the House of Assembly, the Heads of Agreement between Montana Holdings Ltd. and the Government that was signed on March 10.

Contributing to the Revesting Resolution for Montana Holdings Ltd, she pointed out that the 126.26 acres run through the interior of the property.

And, central to the plans for the development of the 870-acre resort and securing the necessary financing for the later phases of the project, is the "urgent need for the reconveyance of the property," the minister said.

Several years ago, the Government for the purpose of constructing an airport, acquired the 126.26 acres.

The Government also determined to acquire another tract elsewhere on the island, on which to build the airport that opened in February, when Rum Cay was declared a Port of Entry.

The development team of Montana Holdings Ltd. is headed by John Mittens, who proposes to develop the 870 acres into a five-star hotel, 250-room complex with an American-style casino, marina, clubhouse, swimming pools, tennis courts, health spa, restaurant and bar, boutique shops, residential villas and cottages for sale on a time-share basis, a dive/sport shop and six retail outlets at a total capital investment of $90,000,000.

The project is being developed in three phases - to be completed in December 2011 - to allow maximum flexibility in products to meet market demands.

The first phase will develop the core property infrastructure including the marina, small (60-room) resort, administration buildings and the bulk of the commercial and residential development. The remaining phases will be comprised of the construction of the rest of the proposed development.

Mrs Maynard-Gibson noted that the development team is headed by Mr Mittens, who brings years of "valuable experience" in property management, marketing and community involvement.

He is assisted by Bahamian citizens and lifetime residents of Rum Cay namely Delores Wilson, owner of the major restaurant in Port Nelson, who understands the economic benefits a resort of this type will bring to Rum Cay and the nearby settlements on San Salvador, Long Island and the other remaining islands, she said.

"Not only will the resort be the major employer in the area, there are other economic benefits to the area providing the necessary infrastructure for supplying the resort and an outlet for native artisan goods," she said.

According to the minister, during construction of the resort, every effort will be made to use Bahamian companies to supply goods and services in a competitive environment. Teams from around The Bahamas will accomplish actual construction of the resort.

Approximately 75 jobs are expected to be created for Bahamians during the construction phase, and an estimated 300 jobs in the hospitality industry in management, operation and maintenance of the resort.

"This will offer families faced with leaving the area as other industries decline, a viable option for continuing to raise their children in the Rum Cay area, which is in line with the Government's anchor resort/development scheme concept in the Family Islands that serves to encourage Bahamians to relocate to those Family Islands that offer employment opportunities," the minister said.

She added that the proposed Rum Cay development also provides opportunities for graduating high school students to begin careers in the hospitality and recreational industries. "This growth in tourism also generates improved financial viability for community owned facilities such as clubs and sporting venues."

The minister said she was pleased that during the course of the project, the developers of Montana Holdings Ltd will provide on-the-job technical skills training and apprenticeship programmes designed to equip its Bahamian employees with the level of technical proficiency necessary for promotion and advancement in all spheres of the development.

"It is expected that Rum Cay will become the model for future economic growth for the surrounding areas, as there will be an improvement in the quality of life for local residents as high quality recreation, social and cultural activities and events are created for the destination guest and vacation homeowner.

"A substantial revenue bounce will be felt by the entire community – as those working at the resort will have more money to spend, and visitors will spend more money at Mrs. Wilson's restaurant, in small grocery stores, hardware, supply and retail outlets, creating a multiplier effect," she said.