In a historic move that reshapes national asset ownership, the Federation of Saint Kitts and Nevis has achieved complete state control over strategic Frigate Bay properties through an innovative compensation mechanism. Prime Minister Hon. Dr. Terrance Drew announced the successful conclusion of negotiations during Parliament’s first 2026 session on February 12th.
The comprehensive agreement transfers to the state full ownership of the Frigate Bay Golf Course lands, complete shares of Frigate Bay Golf Limited, and an additional 77.23 acres of premium real estate. The acquired portfolio includes three distinct parcels: 16.10 acres encompassing the golf course’s northern section adjacent to Koi Resort, 13.16 acres of undeveloped land with panoramic Half Moon Bay views, and 47.97 acres situated between Frigate Bay Road, Earles Mornes, Bird Rock and elevated Frigate Bay areas.
This acquisition realizes the longstanding vision of the St. Kitts-Nevis Labour Party Administration to empower citizens through strategic asset control and sustainable development. The government emphasized the historical significance of Frigate Bay, noting previous national efforts to secure this vital area for public benefit.
Under the new ownership structure, the Ministry of Tourism and Frigate Bay Development Corporation will manage daily operations and strategic development aligned with national tourism objectives. Development plans include transforming the 13.16-acre parcel into luxury villa infrastructure and potentially a high-end hotel leveraging its premium golf course and ocean views.
The substantial 47.97-acre tract will be subdivided into residential and commercial lots, with particular emphasis on enabling young citizens to access land ownership and build generational wealth. The government plans to collaborate with local financial institutions to ensure accessible financing options for prospective landowners.
Notably, the agreement required no direct financial expenditure from government coffers. Compensation to the Royal St. Kitts Group of Companies was structured through 725 Public Benefit Units issued under the Citizenship by Investment Programme.
In related financial developments, a US$10 million loan extended in 2023 to support St. Kitts Marriott Resort operations is scheduled for full repayment by Q2 2026, with approximately US$3.1 million already recovered. This arrangement is projected to generate at least US$2.5 million in application fee revenue through the Public Benefit Unit mechanism.
Prime Minister Drew characterized the agreement as a transformative step toward strengthening national sovereignty over tourism assets, expanding economic opportunities, and advancing the Federation’s Sustainable Island State vision. The government reaffirmed its commitment to long-term development strategies designed to benefit both current and future generations.