Prime Minister Ralph Gonsalves of St. Vincent and the Grenadines has proposed a $36.5 million buyback of lands under the Canouan lease agreement, signaling a shift in the government’s stance on the controversial 99-year lease. The lease, initially signed in 1990 by the New Democratic Party (NDP) administration, granted developers control over two-thirds of the 1,200-acre island, including the right to sell the land as freehold. Gonsalves, who criticized the lease before taking office in 2001, has since maintained a cordial relationship with the investors, even leasing additional lands. However, recent concerns over limited revenue and stalled development have prompted the government to reconsider its approach. In an October 24 letter to investor Andrea Pignataro, Gonsalves outlined the government’s offer to purchase the remaining leasehold land, emphasizing the need to resolve the matter equitably for the benefit of Canouan residents and the nation. The prime minister also highlighted the lack of progress since 2017, attributing delays to external factors like COVID-19, volcanic eruptions, and hurricanes. Despite these challenges, Gonsalves expressed frustration over the developers’ inaction and reiterated his commitment to amicable discussions. The valuation, conducted by an international property consultancy, excludes freehold properties such as the Mandarin Oriental Resort. Pignataro’s legal representative, Lord Goldsmith, has contested aspects of the government’s claims, prompting a proposed Zoom meeting on November 7. Gonsalves remains open to constructive dialogue but insists on swift resolution.
Gov’t offers developers US$36m for land under Canouan lease
