THE FOUR SEASONS RESORT will be completed after all, with work on the stalled multi-million dollar project set to resume no later than March.

Prime Minister David Thompson gave this assurance yesterday, noting that Government is giving its support to a newly negotiated refinancing plan involving new lenders and existing shareholders.

The plan includes a US$60 million facility from Ansa McAL Merchant Bank and its Barbadian affiliate, Consolidated Finance, that allows for a repayment of a Bank of Scotland loan, the acquisition of the nearby Esso land next to the Paradise property and a settlement with creditors.

This news comes following two failed attempts to convince private investors to refinance the project which came to a halt last year February, putting more than 700 out of work.

However, internationally respected investment banker Professor Avinash Persaud, has been working behind the scenes and has been able to negotiate a refinancing plan with lenders, creditors, private residence owners, shareholders and developers.

"I am pleased to support an initiative where Barbadians pull together to put an iconic project back on track, one that will help to shape the future of tourism in Barbados," Thompson said in a Press statement issued yesterday.

"The resumption of this project will underpin our brand as one of the luxury destinations in the world, boost investor confidence, provide substantial local employment, facilitate skill transfers and generate foreign exchange revenues."

Thompson added: "The Government of Barbados must use its resources intelligently and sparingly. Under Professor Persaud's plan, the Government of Barbados will guarantee repayment of the loan as long as the project is run under strict conditions and will in return be awarded an equity stake in the project, a 'golden share' to guarantee our interests versus other shareholders and a charge on the assets of the most significant development to occur in Barbados for some time."

A new management board, under the executive chairmanship of Persaud, will shortly be appointed, according to a release issued yesterday.

Persaud, who was born in Barbados, has over 20 years of experience in investment banking before becoming an advisor to governments and institutions around the world. He was recently ranked No. 2 in the world of public intellectuals on the financial crisis by Prospect Magazine.

Said Persaud: "Barbados and Four Seasons Hotels and Resorts are independently great brands in the luxury vacation sector, and the discerning individuals that have already purchased private residences are a testament to the project's quality of design and finish."

"The problem which the project encountered was of insufficient liquidity at a time when banks were pulling out of property investments around the world and villa sales had slowed.

"Residence owners must be complimented for their refusal to panic amid the global crisis and their long-term commitment to Barbados - a commitment I know the Barbadian people will repay through their warm welcome and friendship for many years to come."

He noted that tenders were already being prepared and should be released shortly, adding: "Construction will resume in the first quarter of 2010.

"Prime Minister Thompson must be congratulated for his bold and strategic support of this project. This rescue would not have been possible without it." (CG)