Plans are now finalized to begin construction of the four-star Delta Crowbush Resort and conference centre in Lakeside, adjacent to the Links at Crowbush Cove golf course. Construction will begin this month with an opening date of May 15, 2001. Representatives from the Governments of Canada and Prince Edward Island, Crowbush Cove Development Inc. and Delta Hotels joined together to announce the details of the $14.5-million development, a project that will support and enhance the tourism industry and rural economy of Prince Edward Island.
The Honourable Lawrence MacAulay, Solicitor General of Canada and Member of Parliament for Cardigan on behalf of Human Resources Development Canada and the Atlantic Canada Opportunities Agency; the Honourable Pat Binns, Premier of Prince Edward Island; the Honourable Don MacKinnon, Minister of Development; the Honourable Kevin J. MacAdam, Minister of Fisheries and Tourism; Kevin Pytyck, Vice President of Crowbush Cove Development Inc.; and, John Johnston, President of Delta Hotels were at the site today to announce details of the newly signed development agreement.
The agreement was made between the provincial government and the developer, Crowbush Cove Development Inc. (CCDI). Delta Hotels will operate the Delta Crowbush Resort.
The Government of Canada is participating in partnership with the Province of PEI and Crowbush Cove Development Inc. in announcing this project. "More than 80 people will be employed at this first-class resort complex. These will be new sustainable jobs for Prince Edward Island," said Minister MacAulay. "In addition, the international reputation of Crowbush Cove as a high calibre golf course will be further enhanced by the Delta Crowbush Resort. This will result in increased visitation to Eastern PEI."
As part of its economic development strategy, the Government of Prince Edward Island is committed to working in partnership with the private sector. The provincial government is leasing the land (to a maximum of ten acres) for this phase of the project, in addition to providing a low interest rate loan and investing in the infrastructure.
"The province is pleased to expand the economic development base in rural areas of the province, resulting in full and part-time employment in the Lakeside area," said Premier Binns. "At the same time, we are maximizing the return on investment in the Links at Crowbush Cove in a way that will facilitate economic growth. This project will provide a valuable, new addition to the tourism accommodation industry and add to the quality of our growing tourism infrastructure."
The development of the Delta Crowbush Resort will occur on a phased basis. Phase one includes the construction of a 118 room hotel complex, including 82 suites and 36 regular rooms. The property will also feature 6,000 square feet of meeting space, a 125-seat restaurant, a 75-seat lounge and extensive pool, spa and fitness facilities. The resort will be connected to the beach via a footbridge, which will safely pass over the dunes and pond area.
"Our department is delighted to have been able to lead this major economic development project in the Lakeside area," said Development Minister, Don MacKinnon. "I look forward to its completion and anticipate significant long-term benefits for the PEI economy."
Fisheries and Tourism Minister, Kevin J. MacAdam noted, "Projects such as this will improve and enhance Prince Edward Island's image as a premier golf destination. A four star resort adjacent to a five star golf course will result in increased tourist visitations, particularly in the shoulder seasons."
The resort will be developed and owned by Crowbush Cove Development Inc., a company that is held primarily by Strait Crossing Inc., and operated by Delta Hotels.
"We are pleased to have been chosen by the Province to develop a first class destination resort at the incredible Links at Crowbush Cove," said Kevin Pytyck, Vice President of Crowbush Cove Development Inc. and Strait Crossing Inc. official. "We are looking forward to this exciting development, and furthering our participation in the growth of the tourism industry on Prince Edward Island."
A management agreement has been negotiated between CCDI and Delta Hotels. Delta will enfranchise the four star hotel/convention complex, ensuring that four star standards are maintained as set out by Canada Select Rating Program. Delta will ensure that the resort will be operated as a high quality tourism and recreation development.
"We are pleased to have been selected to operate a resort in one of Canada's most popular tourism destinations," said John Johnston, President of Delta Hotels. "The Delta Crowbush will further strengthen our market position in Atlantic Canada."
Future phases of the project are yet to be finalized. Plans are being discussed for a condominium development; however, any future phases will require the approval of the province. Funding for the project is outlined in the attached document.
For more information, contact: Carol Mayne, Province of Prince Edward Island, (902) 368-4264; Brenda Beaton, Human Resources Development Canada, (902) 566-7667; or Brian Schmeisser, Atlantic Canada Opportunities Agency, (902) 566-7422.
DELTA CROWBUSH RESORT PROJECT FUNDING:
Shareholders: $3.5 million
Business Development Bank of Canada: $4.5 million
Commercial Loan -- Enterprise PEI (Low Interest Loan Program): $2.5 million
Human Resource Development Canada (Canada Jobs Fund): $.7 million
Canada/PEI Labour Market Development Agreement (co-managed between Human Resources Development Canada and Department of Development): $.3 million
Atlantic Canada Opportunities Agency (Business Development Program): $.5 million
Sub-Total: $12 million
INFRASTRUCTURE:
Canada/PEI Regional Economic Development Agreement (70/30 cost sharing - waste treatment facilities, roadways and other infrastructure): $2.5 million
Sub-Total: $2.5 million
TOTAL: $14.5 million