Newstead sale appears close — link with Lantana likely

There was clear evidence this week that a deal has been done to complete the sale of the Newstead Belmont Hills Golf Resort Property, after three years of receivership. In fact, it would appear that there has been sudden and substantial movement, since Bermuda was first shortlisted as a possible host to the prestigious America’s Cup in 2017.

Since that time, seven legal notices have appeared to form limited liability companies in relation to the properties.

Attempts to obtain details have so far not been successful, but five notices were gazetted on Wednesday stating the intention to form new, related companies under The Companies Act 1981.

The company names link the Newstead business with the Lantana property, which is owned by American property investor and former money manager Lawrence Doyle and his real estate investment company Katerich Asset Management LLC.

Contacted yesterday and asked if he was the buyer, Mr Doyle, would only say, “No comment.”

As reported in this newspaper more than two years ago, he was one of the leading bidders for the property since it was put in receivership under Ernst & Young.

This week, the five proposed new companies are Newstead Golf Resort Ltd, Newstead Lantana Development Company Ltd, Newstead Lantana Shuttle Ltd, Newstead Lantana Spa Ltd and Newstead Residences Ltd.

Trott & Duncan Ltd are listed as the attorneys for the applicants. A call to their law offices, seeking clarification this week, has not been returned.

But many will infer the nature of the planned combined operations from the very names of the companies including, perhaps, a water taxi service between Newstead and the Lantana property.

It would also suggest that the new owners will have Newstead, Lantana and Belmont working together, even if under separate limited liability vehicles.

The legal notices follow two others for which applications were made last month.

The Joint Receivers of Belmont Hills Property Ltd — gave notice of an application to incorporate a limited liability company, BHP Ltd.

Days later, they gave notice of the intention to form another local limited liability company, NBHH Ltd.

Attorneys for the applicant are in both cases listed as Conyers, Dill & Pearman and in both cases the companies were established with land holding powers.

The joint receivers are Robin Lee McMahon, in the Cayman office of Ernst & Young, and Robwyn Gill Tucker in Bermuda.

Newstead Belmont Hills Golf Resort went into receivership when Butterfield Bank called in a multimillion dollar loan after 18 months of negotiations to restructure the financing of the property.

The bank would not comment on the new development when first contacted a month ago. Calls to the local office of Ernst & Young were not returned.

The Newstead Belmont resort arose out of two separately existing hotel properties and the Belmont golf course.

View Original Article on The Royal Gazette

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