Govt. not interested in co-development of Mullet Bay, seeks timeline for sale to protect St. Maarten’s rights

GREAT BAY-- Minister of Finance Marinka Gumbs told Parliament on Thursday that government is not interested in any co-development arrangement for Mullet Bay and is instead seeking clarity on when the property will be placed back on the market, so St. Maarten can be positioned to exercise its right of first refusal.

Minister Gumbs addressed the issue during the continued urgent Public Meeting of Parliament on matters surrounding the Central Bank of Curaçao and St. Maarten (CBCS). She said government’s focus is not on development concepts, participation in private master planning, or financing arrangements with private parties, but on protecting the country’s legal and financial position while ensuring the national interest is safeguarded.

“St. Maarten’s position is clear. Government is not engaging in co-development arrangements, participating in, or financing any master plan with a private party,” the Minister said, adding that the priority is certainty about when Mullet Bay will be offered for sale, and ensuring that zoning and regulatory measures protect the country’s interests.

Minister Gumbs noted that while she was able to secure St. Maarten’s right of first refusal, Mullet Bay is not currently for sale. She explained that the matter remains tied to a complex and lengthy series of court proceedings connected to the Ennia saga and related disputes.

The Minister said it is difficult, and potentially irresponsible, to prepare for the purchase of an asset that is still “enmeshed in court battles,” with key issues, such as valuation and boundaries, not yet legally settled. She referenced an interim appraisal report from 2009 estimating the value of the property at approximately $80 million to $85 million, and cautioned that the current value could be significantly higher.

She added that the government does not have the financial capacity at this time to acquire Mullet Bay at that level and emphasized that any planning must be grounded in realistic financial and legal conditions.

Minister Gumbs informed Parliament that she is working with a group of advisors to develop financial mechanisms that could allow St. Maarten to exercise its right of first refusal if Mullet Bay is placed back on the market.

She said government is reviewing alternative approaches that may include options such as a public-private partnership model, supporting the formation of a local consortium, and other modalities that could make acquisition possible if a sale opportunity arises. The Minister said she would welcome Parliament’s input as work continues on these options.

Ownership, master plan, and boundary questions

In response to questions on ownership, Minister Gumbs said Mullet Bay remains owned by Sun Resorts Limited MB, which falls under the former Ennia entity. She said Sun Resorts has indicated that it is pursuing a master plan for Mullet Bay as the owner of the property, describing the company’s stated intention to establish a structured long-term vision for development.

The Minister said the company’s stated master plan concept may include hotel development, a golf course, residential components, marinas, and supporting infrastructure. However, she stressed that government is not participating in any such master plan initiative.

She also acknowledged questions raised about how a master plan could be advanced while property boundaries remain disputed. Minister Gumbs said she does not have detailed information on the court proceedings, but indicated that Sun Resorts itself has acknowledged the need to establish seaside boundaries, and that a related court case reportedly began on August 19, 2025.

The Minister stated that the legal authority responsible for determining and registering property boundaries in St. Maarten is the Kadaster, but noted that certain boundary aspects are disputed and are currently before the court following proceedings initiated by Sun Resorts.

Proceeds tied to Resolution Fund under outline agreement

Minister Gumbs also addressed how proceeds would be treated if Mullet Bay is sold. She explained that, under the outline agreement, sale proceeds would be applied toward satisfying claims in the Ennia-related proceedings. She said this would reduce the burden on the Resolution Fund and lower the required contributions from St. Maarten, Curaçao, and the CBCS under the agreed framework.

She emphasized that the outline agreement, approved by the Parliaments of both Curaçao and St. Maarten, requires that Mullet Bay be sold and that proceeds flow directly to the Resolution Fund to pay policyholders. The Minister said this requirement is not optional, and warned that if a sale does not occur, the countries could collectively be required to raise approximately $100 million to fund the Resolution Fund.

Against that backdrop, she said there is no basis for alternative arrangements that could delay, undermine, or complicate a sale process required under the agreement.

No CapEx allocation in 2026 budget, legal outcome expected late 2026

Responding to questions about whether government has budgeted for acquiring Mullet Bay, Minister Gumbs said no capital expenditures (CapEx) provisions were included in the 2026 budget for such an acquisition. She said the property is not currently on the market, court proceedings are ongoing, and a final decision is not expected before the end of 2026, with the possibility of appeal afterward.

Given those uncertainties, the Minister said it would not be responsible to allocate public funds for an acquisition that is neither available nor legally settled.

Commitment to protect a national asset

Minister Gumbs described Mullet Bay as an asset of national importance and a historic cornerstone of St. Maarten’s tourism economy. She said government’s objective is to ensure Mullet Bay ultimately benefits the people of St. Maarten, while maintaining discipline within the country’s legal obligations and financial responsibilities.

“This is not about confrontation, but about shared responsibility for an asset of national importance,” the Minister said, adding that her commitment remains focused on protecting Mullet Bay as part of the country’s national patrimony.

The Minister said her intention is to continue constructive engagement with relevant stakeholders and her counterpart in Curaçao, while also supporting efforts to update the applicable frameworks to prevent similar governance and procedural challenges in the future.

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