Chamber calls for govt to ‘right-size’ BSI project
The Saipan Chamber of Commerce called on the government to look more into and right-sizing Best Sunshine International, Ltd.’s $7.1-billion project in the CNMI.
Chamber president Alex Sablan said that “a hand-in-hand approach” between government and the developer is needed to ensure that the project will be “successful.”
“The developer is going to do what it says it’s going to do,” Sablan said, “Is the developer developing what they want and wanting to maximize its profit? Yes. But how is the government going to maximize its opportunity?”
Sablan said the government should have a strategic plan with regards to moving forward with the project and that the chamber is “ringing the bell” and asking where the plans are.
“If we don’t talk about this, we don’t get this plan in place, how can we realistically believe that we’re going to generate a million and a half tourists which are what we’re going to need in order to keep the hotels at 80 percent occupancy when you build almost 9,000 rooms here,” Sablan said.
He added that CNMI’s tourism industry can do a lot better especially if there will be a plan with regards to BSI’s development.
“We think we can do a lot better if we have the right plan going forward with respect to this development. That’s why we’re asking the government to take a more concentrated, asserted effort at putting their determination on how to right-size and plan out and determine how we can get a year-round movement of tourist inter-island so that we can spread out opportunity throughout the year,” he said.
Mass market
One question that Sablan asked is if the CNMI will be able to develop the mass market needed for the upcoming project.
“When we plan to build an integrated resort, are we planning to build also a conference facility that we can use to improve our shoulder periods?” Sablan said.
According to him, hotels in the islands are full during four out of 12 months, but are only around 70 percent occupancy the rest of the year.
He asked if the government will be partnering with BSI to promote the islands for conferences, exhibits, or expos as what is being done in other places like Hawaii and Singapore.
“We don’t necessarily need to have somebody build a separate convention center. What we can have is somebody working from Best Sunshine to right- size the right conference or exhibit or convention center for the development we want in an integrated resort. That way we can promote in the off-periods, throughout the year,” he said,
Labor and infrastructure issues
Sablan also pointed out the huge number of workers that will be needed should an additional 4,000 rooms from BSI and a thousand more from other projects will be opened.
On room attendants alone, he estimates an additional 4,400 will be needed.
“The labor issue is a very big concern,” Sablan said.
He also noted problems in air traffic as well as the lack of airlines and lack of space in the airport should the Commonwealth be increasing tourist arrivals.
“At this stage in the game, I have not seen any plan on airport extension. I have not seen any plan for mass transit system,” he said.
He said he also hasn’t seen plans for improving utilities such as water services.
“We’re asking the government to right-size this development. We think the number is too much. Four thousand rooms for one developer in this integrated resort project are too much, thinking as how we haven’t done anything to improve infrastructure in the airports, infrastructure in the island,” Sablan said.
“Maybe it’s too early to worry about it, I don’t know. I just don’t think that we are in the game of planning for it and we’re asking the government to see if it can take a look at it and if it makes sense,” he added.