In a series of key moves Monday, the Virgin Islands Legislature approved a 99-year lease for the Virgin Islands Museum of Art to occupy the long-vacant Kimelman Building in downtown Charlotte Amalie, and gave the V.I. Port Authority expanded borrowing power to pursue critical infrastructure upgrades.
The lease grants the Charles M. Kim V.I. Foundation the right to transform the historic 48B Norre Gade property — located in the heart of King’s Quarter — into a permanent home for a Virgin Islands Museum of Art. The agreement includes a 99-year initial term, with the option to renew for two additional 50-year periods. The initial annual rent is $1,200, with no rent due during a 60-month construction period. The nonprofit plans to demolish, renovate, or rebuild a historically styled replica of the existing structure, totaling at least 7,500 interior square feet, not including any tower or lookout structure. The space will be used for museums, galleries, community and civic events, studios, cultural production, associated office and retail use, and other related purposes.
While the project’s vision was widely praised, several senators expressed concern about the lease’s duration and termination terms. Sen. Marise James said she was “personally disappointed” that the tenant can walk away each year for the first decade — and every 10 years thereafter — without a similar option for the government. Still, she voted in favor, calling it a worthwhile investment in a building that has long sat idle.
Sen. Carla Joseph defended the deal, pointing to the nonprofit’s history of community engagement. “This is a nonprofit that spends considerable time working with other organizations,” she said. “What they’re doing is a new paradigm in development – taking on a damaged property that could one day become a liability and turning it into something valuable.”
According to prior Source reporting, the foundation has been in discussions with the government for years, investing in design work and assessments in preparation for the project.
Separately, senators approved a bill to raise the Port Authority’s bonding limit from $100 million to $350 million, down from an original proposal of $500 million. Lawmakers said the increase reflects the rising cost of capital projects and the need for long-term infrastructure planning across seaports and airports.
“This is about maintaining critical infrastructure for commerce, tourism, and emergency response,” said Sen. Angel Bolques Jr., who sponsored the bill. “A hundred million dollars today isn’t what it was when the limit was first set.”
When contacted Tuesday, VIPA Executive Director Carlton Dowe said the bonding cap hadn’t been adjusted in decades and that the increase was needed to give the Authority more flexibility as it embarks on major marine projects. “Even with the maximum, we need to have the revenues,” Dowe said, noting that VIPA can only borrow what it has the capacity to repay.
He said the funding flexibility will support infrastructure projects, including improvements beneath the territory’s docks and the construction of a new customs facility at the Red Hook ferry terminal on St. Thomas.
Some lawmakers, including Sen. Hubert Frederick and Sen. Novelle Francis, questioned the impact on the government’s overall borrowing capacity and pushed for more transparency, though the measure passed with strong support.
In other business, the Legislature confirmed four nominees to key territorial boards: Safiya George to the VI Government Hospital and Health Facilities Corporation Board for St. Thomas-St. John; Anthony Mardenborough Jr. to the Board of Career and Technical Education; Elizabeth Guadalupe-Perez to the Real Estate Appraisers Board; and Trinity Granger-Austrie to the University of the Virgin Islands board of trustees.
“These are people with vision and integrity,” said Senate President Milton E. Potter. “They represent the kind of leadership our institutions need.”
The bills now head to the governor for final approval.
