Court of Appeal clears path for Port Royal hotel sale after eight years of legal disputes
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A Court of Appeal ruling has cleared the way for the completion of a long-delayed property sale in Port Royal, Kingston, ending nearly a decade of legal wrangling over the former Morgan's Harbour Hotel site, according to the property receiver.
"While the lengthy duration of the proceedings was unfortunate, we are satisfied with the court's ruling and grateful that the matter has been conclusively resolved," stated receiver Wilfred Baghaloo of PwC Jamaica in messages to the Financial Gleaner.
A tenant occupies part of the property and has contested removal through the courts on multiple occasions, Baghaloo said. Last Tuesday, the Court of Appeal rejected a third application to remain in occupation — the occupant's final avenue of appeal, Baghaloo said, adding that vacation of the premises is expected this week.
The court upheld earlier decisions requiring that the occupied portion — some 2.2 acres — be cleared to allow the finalisation of a sale agreement with Swan Property Group Limited, a Malta-based company, that has been stalled since 2017. Baghaloo said the sale would only be completed once free and clear possession can be transferred.
Morgan's Harbour Limited was placed in receivership on September 23, 2015, becoming one of the first major corporate receiverships administered under Jamaica's Insolvency Act of 2014. The following year, Swan Property Group emerged as the successful bidder for five parcels of land comprising some 24 acres in Port Royal, following a nine-month public marketing campaign.
The sale, however, could not be completed. At the time the agreement was signed, a person had taken possession of two of the five parcels. After attempts to resolve the matter failed, Baghaloo pursued the issue through the parish court, then the Supreme Court, and ultimately defended several appeals before the Court of Appeal.
"On March 12, 2026, eight years after the sale of the leaseholder interest to Swan Property Group, the Court of Appeal agreed with previous rulings that the property should be vacated," Baghaloo said.
Baghaloo described the case as "groundbreaking" in dealing with adverse possession of leasehold interest. He hoped the ruling would allow Swan Property Group to move forward with development plans that had been stalled for more than eight years.
The sale was complicated further in the intervening years when the Port Authority of Jamaica approached the receiver to acquire eight acres of the property to facilitate the development of the Port Royal Cruise Ship Terminal — a transaction completed with Swan Group's consent. The terminal recorded its inaugural cruise ship docking in January 2020.
Swan Property Group, which already operates the property under the name Grand Hotel Excelsior, will be able to take full possession once the vacating order is executed. The hotel, described on its website as the only airport hotel in Kingston, offers a full-service marina with customs clearance for visiting yachts.
Port Royal was declared a UNESCO Heritage Site in July 2025. Baghaloo said the designation, combined with the completed cruise terminal, should enhance the growth potential of the historic town. "I hope this now clears the way for Swan Property Group to implement their development plans," he said.
Port Royal, once dubbed the ‘wickedest city on earth’, was a notorious pirate haven and centre of trade in the 17th century. It is now a fishing village known for its seafood dining, and in 2024 the Government announced plans to develop nearby Fort Rocky as part of a broader Port Royal Entertainment Zone. Parts of the first James Bond film, Dr. No, were filmed there.
Photo caption: Wilfred Baghaloo of PwC Jamaica