After months of speculation on the sale of Buddy’s International Hotel, the US$12M venture looks set to come under the control of a group of foreign investors, this newspaper understands.
Contacted yesterday, owner of the establishment Omprakash ‘Buddy’ Shivraj said that he had no comment at this time. An informed source close to major investments in Guyana said that something is indeed happening with the hotel and foreign investors.
This newspaper understands that the growing interest in Buddy’s may have less to do with the hotel itself and more to do with the casino to be located in the hotel, which should become operational after the appropriate Gaming Authority comes into being. An amendment to the Gambling Prevention Act in January 2007 facilitated the establishment of such a Gaming Authority.
This newspaper has learnt that a number of the persons, said to be from South Africa, are resident at the hotel and have been for some time playing a part in the hotel’s management. They are said to be part of a Turkish-led investment with casino investments in Suriname.
Staff at the hotel also confirmed that the investors have been present and have been making preparations for the change of management. But the staff have not yet been officially notified of any change, this newspaper understands.
A number of the foreigners were seen by this newspaper yesterday. One of the men was taking persons around the premises pointing out various things to them.
In February, Shivraj had told this newspaper that Buddy’s was not for sale. The rumours of a sale had been circulating since November last year.
The hotel was completed in time for officials, sponsors and the media covering the six Super Eight World Cup matches held here in March/April last year.
The hotel was built with funding that included several mortgages and a $165.7M advance by the state on the sale of rooms to the Guyana Government.
As this newspaper previously reported, the Ministry of Culture Youth and Sport has paid over to the Ministry of Finance the sum of US$598,000 – approximately $119.6M – of the $165.7M that the Government had advanced to the hotel. The remainder of the sum – $46.1M – was to have been recovered through room nights at the hotel.
