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New interest in former Breezes MoBay hotel

Published:Wednesday | August 13, 2014 | 12:00 AM

Owners of the former Breezes Montego Bay hotel, the National Insurance Fund (NIF) and The NCB Pension Fund, have reached pre-liminary agreement with an overseas entity for the sale of the 124-room property.

The hotel, located beside the world-famous Doctor's Cave Beach, was last valued at US$14.32 million. It has been on the market for three years.

The parties expect to close the sale by October, which Wednesday Business sources say is at the tailend of a 45-day due diligence process.

The sale agreement was returned by the potential buyer in recent days.

The property was placed on the market in 2011, but has been closed for four and half years. Up to that point it was managed, under contract, by SuperClubs hotel group, owner of the Breezes brand.

The seaside property was built in 1995. NCB Pension Fund owns 51 per cent of the property, while NIF holds 49 per cent. NIF acquired its stake in the property for $271 million.

A previous offer for the hotel was made in 2012 by lawyer and hotelier Christopher Issa, but that deal foundered after months of negotiation.

business@gleanerjm.com