Transportation and Infrastructure
Provincial government sells Algonquin Hotel and Resort23 March 2012
SAINT ANDREWS (GNB) – The historic Algonquin Hotel and Resort in Saint Andrews will have a fresh start under a joint venture agreement between New Castle Hotels & Resorts and Southwest Properties to take over ownership of the property.
The announcement was made today by Culture, Tourism and Healthy Living Minister Trevor Holder and Transportation and Infrastructure Minister Claude Williams.
"The Algonquin Hotel & Golf Course has been owned by the provincial government for 40 years, and the iconic resort facility has served visitors for more than a century," said Holder. "It continues to have enormous tourism appeal and potential. However, it is in need of refurbishment and a new marketing approach. The time has come to place it in the hands of an experienced team of new managers who have solid turnaround success credentials within the tourism destination industry."
The provincial government, through the former department of supply and services, has owned Algonquin Properties Ltd. since 1971. The hotel had been managed since 2001 under contract with Fairmont Hotels & Resorts.
"The Algonquin is an economic engine for Saint Andrews, Charlotte County and the province," said Williams. "That is why the provincial government has taken the steps it has to secure the resort's long-term viability and future."
The provincial government is selling the Algonquin and is providing a $21-million repayable loan to the new owner to operate, restore and rejuvenate the property. The new owner will put up $4 million in equity contributions and incentives.
"New Brunswick has proven to be an excellent place for us to do business, and we are delighted to have the opportunity to restore the lustre of this irreplaceable icon," said David Buffam, chief executive officer, New Castle Hotels & Resorts. “Marriott has been our partner of choice in many projects over the years, and we are eager to see what is to come from the linkage of the strongest hotel brand in the world with a renewed historic resort."
The hotel and golf course will continue to be marketed as a top resort facility in New Brunswick. Once renovated, the resort will become a member of Marriott's Autograph Collection, in which it will participate in Marriott International Inc.'s worldwide marketing presence and loyalty program with nearly 35 million members. Marriott International Inc. has more than 3,700 hotels and resorts in more than 70 countries.
New Castle Hotels & Resorts owns or manages six hotel properties in Atlantic Canada. Southwest Properties, a Halifax-based company, is one of the most active commercial and residential real estate developers in Eastern Canada. The joint venture has completed a Marriott Residence Inn in Moncton and a Hampton Inn & Suites in Dartmouth, N.S.; it is building a Residence Inn in St. John's, N.L.
The Tudor-style Algonquin was built in 1889 by the St. Andrews Land Co., established in 1883 by wealthy American businessmen. In its glory days, it was owned by the Canadian Pacific Railway Co.
Visitors wishing to book a stay at the Algonquin can do so by calling 1-855-529-8693 or 506-529-8823; or by visiting the resort's website. Tourism packages that showcase some of the resort's offerings are outlined on the Tourism New Brunswick website.
● Algonquin Resort & Golf Club: www.algonquinresort.ca
● Tourism New Brunswick: www.tourismnewbrunswick.ca