NASSAU, BAHAMAS — A long-running ownership and management dispute at Old Bahama Bay Resort and Marina intensified Tuesday as the property’s ownership entity moved to reclaim control of the West End resort, with employees reportedly being barred from accessing the property.
Lubert Adler–Old Bahama Bay (LRA-OBB), the entity that owns the resort, moved to transition control of operations following months of legal wrangling with Island Ventures Resort and Club (IVRC), the company that has managed the property on behalf of condominium owners since 2011.
Bahamian attorney Michael Scott KC, who represents LRA-OBB, confirmed the ownership group was moving to take possession of the property and maintained that his clients have the legal right to control the resort.
“Yes, we are taking control of the property,” Scott told Eyewitness News.
He accused IVRC of resisting the transition, arguing that the company’s management authority was terminated.
“There is rear guard resistance by John MacDonald who is relying on and calling in aid from his political contacts, but it’s a losing battle for them,” Scott said.
“Our clients are the legal owners of the property and at the end of the day, that’s all that matters.”
The dispute centres on ownership, management and control of Old Bahama Bay Resort and Marina, with LRA-OBB maintaining that IVRC’s management licence was cancelled and that it no longer has authority to operate the property.
IVRC, led by John MacDonald and formed by condominium owners, has disputed that position and maintained it should not be removed without a formal court eviction process.
LRA-OBB has sought to transition resort operations to Kingwood International Resorts, while IVRC has resisted the takeover.
The dispute has also expanded into financial and valuation issues, including allegations by LRA-OBB that IVRC owes outstanding VAT, real property taxes and marina dockage fees — claims IVRC has disputed.
The parties are also challenging the valuation of the property, with the Department of Inland Revenue reportedly placing the value at approximately $36 million, while LRA-OBB and Kingwood have relied on independent appraisals closer to $15 million.
