Thanks to the approval of a Coastal Zone Management permit on Tuesday, the once popular Hibiscus Beach Hotel on St. Croix, which was built in 1992, closed in 2009, and demolished in the 2017 hurricanes, will be resurrected over the next few years.
In 2018, the property was purchased by the Hamed family, a well-known business entity. In 2020, the family applied for V.I. Economic Development Authority tax benefits to help with their development. The company committed to investing $4.5 million to rebuild the three-star hotel.
The CZM final staff report says the project may cost $6 million with as many as 60 employees.
Since then, the Hameds have been working to obtain the necessary permits to rebuild the beachfront resort, while also removing debris and dismantling wooden structures.
In March, a public CZM hearing was held. At that time, several neighbors expressed concerns about the project, specifically sewage backups and flooding after storms and hurricanes. They pointed out that the gut, the public right of way that empties into the sea, has been used for generations by people and horses as beach access. Flooding occurs on the flat land around the hotel, which is located in a FEMA-declared flood zone. During and after storms, public access is one way storm that water drains back into the sea.
At Tuesday’s hearing, a revised plan was presented by Hibiscus Beach, Inc., in which the right-of-way public road was not included. The owners had tried to acquire the land, but Alicia Barnes, environmental consultant, said it was not possible at this time. Because it was removed from the plan, the project is 10,000 square feet less than the original plan, and the public right-of-way remains untouched.
Replying to a question from CZM board member Marlon Hibbert, Damian Cartwright, project engineer, said the storm water retention pond will be three feet deep when full and hold 100,000 gallons.
“If it is filled up it will flow naturally across the coastal area, pretty much as the right of way flows out over the sand bar,” Cartwright said.
At the end of the meeting, the board voted unanimously to follow staff recommendations and approved the project – with contingencies – that include the usual requirements such as obtaining necessary permits, employing best practices, providing public notices and notifying CZM 72 hours before beginning construction. The requirements also include constructing parking areas with pervious materials, a lighting plan to deter turtles, and a maintenance plan that must be reviewed by the V.I. Department of Planning and Natural Resources.
“On completion of all three phases of construction planned, the hotel will be transformed into a sophisticated and fashionable establishment which will feature all amenities associated with a boutique hotel including a bar, a gym, a restaurant, a large pool and 115 adequate parking spaces, The establishment will boast 103 guest rooms,” according the the CZM staff report.
The plan has changed from 103 guest rooms to 75 rooms and 80 or 81 parking spaces to take into account the public areas not owned by the Hameds. The company plans to make drainage improvements to the right-of-way. However, and even during construction, stormwater will be released at certain points to prevent erosion and sediment loss.
A grand opening is planned for 2027, according to the permit application.
