IN Spain’s biggest show of interest in Jamaica since occupying the island as colonisers under Christopher Columbus 509 years ago, Spanish interests are figuring prominently on a list of 15 tourism projects with potential capital investment of US$400 million and employment capacity of 4,700 jobs.

Jamaica Promotions Corporation (Jampro), the state-run one-stop clearing house for investments, has been assisting the entities — now in varying stages of development — to set up and expand their operations on the island’s north coast.

“There is serious interest among the Spanish business community in investment in Jamaica,” said Dennis Morrison, the chairman of the Jamaica Tourist Board (JTB) in an interview with the Sunday Observer.

So strong is that interest that the JTB has established representation in Spain, which last year sent 6,615 visitors to Jamaica, up from 4,302 in 2001. And based on this year’s January-July arrivals from Spain (3,718 compared to 3,252 for the same period last year), tourism officials expect that by the end of December the island would have welcomed even more Spanish tourists.

This performance is due largely to the presence here of the Riu Group, which now operates a 392-room hotel in Negril and has started construction on a 450-room resort in Bloody Bay, also in Negril.

But Riu’s entry into the local market has not been without controversy, as last year February the Jamaica Hotel and Tourist Association (JHTA) complained that the chain’s budget rates could impact negatively on smaller properties that make up the majority of hotels in Negril.

According to the JHTA, although Riu got approval to build a five-star resort to widen the mix of properties in Negril, the hotel’s rates have not been consistent with what is charged at high-end resorts.

The JHTA’s concerns were shared by the opposition Jamaica Labour Party (JLP) whose leader, Edward Seaga, told a political fund-raiser in Westmoreland that same month that a JLP-run government would not have allowed Riu to build and operate in Negril.

“We believe that there is a role for such hotels,” Seaga said, “but we do not believe that they have to be put in competition with what exists.”

The controversy aside, Riu’s success appeared to have been a good test case for Jampro to present to the other Spanish resort chains, and Morrison gave the state agency high marks for its persistence in wooing the Spaniards.

“They’ve done a lot of hard work,” Morrison said. “Over many months they’ve had a lot of visits from senior executives of the (hotel) chains and Jampro has played a major role in putting them in touch with the country. That has moved to the point where they are taking investment decisions.”

Jampro’s heavy involvement was confirmed by Adrian Bailey-Hay, a member of the Jampro team that has been talking with the Spaniards. He told the newspaper that the agency had met with a number of the Spanish hoteliers last year January, then again towards the end of the year and at the beginning of this year.

According to Bailey-Hay, infrastructure improvement projects that helped enhance Jamaica’s tourism product were highlighted in the meetings.

For instance, the North Coast Highway and Highway 2000, the expansion of the Sangster International Airport in Montego Bay now taking place, the privatisation of the Jamaica Public Service Company to Atlanta-based Mirant Corporation, and the fact that the island allows the free movement of capital, were some of the enticements placed before the Spaniards.

The Jampro team also emphasised that Jamaica, with its strong and dynamic culture, would gain even more prominence as a brand with the increasing focus in the travel industry on culture and heritage tourism.

More than 4,000 new rooms are expected from these 15 projects which have been welcomed by director of tourism, Paul Pennicook, who sees not only additional accommodation, but the introduction to the island of new tour operators and air seats.

“New tour operators and new flights mean more visitors,” Pennicook said, adding: “It is always good to see increased investment in the sector.”

The Spanish influx started to grab attention in June this year when Grupo Pinero signed a sale agreement with Tankweld Ltd for a 200-acre property in St Ann on which the group plans to build three 600-room hotels.

Described by Development Minister Dr Paul Robertson as “the largest single hotel development in Jamaica’s history”, the project, which will wear Pinero’s Bahia Principe brand, is expected to be completed over three years, with the first phase being the construction of two properties that will include shopping and entertainment facilities. Each property will cost between US$60 million and US$100 million.

Jampro expects construction on the first phase of the Bahia Principe to start this year and has said that the US$50-million Riu 2 should be completed this year as well.

Another Spanish chain, Barcelo Hotels and Resorts, is awaiting the signing of a sale agreement for land in St Ann where it intends to build an 850-room hotel, a Jampro document said, while Grupo Iberostar Hotels and Resorts is also near to buying land at Rose Hall, St James to construct an 850-room hotel.

Meanwhile, the Jampro document said, the Riu Group is eyeing land at Mamee Bay in St Ann where it intends to spend US$45.48 million building Riu 3.

The other big hotel projects are the 147-room Swept Away Resorts (phase 2) now under construction in Negril, and phase 2 of the Montego Bay-based Ritz Carlton Hotel, into which the developers plan to pump US$20 million.

That project, which has been named Cinnamon Hill, comprises timeshare units, villas and condos.

The remaining projects include:

* a farm and great house tour, inclusive of a museum at Epworth district in St Ann

* High Hope Resorts, a cottage development;

* expansion of Jamaica ATV Tours Ltd at Mt Zion Road, Rose Hall, St James

* development of John’s Hall Adventure Tour — a heritage attraction showcasing indigenous flora and fauna

* Sea Spa Resort — a 20-room hotel promoting health tourism and wholistic lifestyle

* Secret Paradise Resort Ltd — a 25-room upscale property;

* Teresina Bed and Breakfast — a six-bedroom development; and

* expansion of the 15-room Hotel Commingle in Savanna-la-Mar, Westmoreland.