Luxury Real Estate

Courtesy of: Jim Walberg of Caribbean Islands Realty

Ten days ago Sen. George LeMieus (R), from Florida proposed a bill that would have ruined the Virgin Island economy! This week, through the behind the scenes efforts of Gov. deJongh from the USVI and several of the Territory’s influential friends were successful in having it voted down by the U.S. Senate!!!

“The Rum Cover-Over War” was one worth fighting. A war starts generally because one territory is angry with another, and they want to punish the people they are angry with. Well, the offending party in this war is Puerto Rico. Puerto Rico is angry that the giant liquor conglomerate, Diageo, did not renew an agreement with a rum distillery in their territory. It happens to be the distillery that produces Captain Morgan’s label representing significant jobs and BIG revenue to any territory that has the contract.

Because they didn’t renew their contract with Puerto Rico, Diageo contracted with the US Virgin Islands to build their new distillery on St. Croix with a 30 year lease and a rum production agreement. The agreement has the USVI providing tax benefits for the contract and the USVI would begin to receive the Cover-Over funds that had been paid to Puerto Rico for so many years. Puerto Rico didn’t like it that Diageo pulled out of their territory and are now setting up shop in the USVI. So, that is why Senator LeMieus proposed the bill so he could appear to be a supporter of the many Puerto Ricans who live in Florida and are potential voters for his re-election.

Puerto Rico claims it is an inappropriate use of the cover-over money and excessively awards a foreign company. The rum cover-over payment is currently based on the production of rum in a specific Territory. Senator Lemieux’s proposal would have instead based the allocation on population. The population of Puerto Rico is 3.9 million, compared to almost 110,000 for the USVI territory. Do you think he has Puerto Rico’s interest in mind? Of course he did. Gov. deJongh said the proposal ignored almost 100 years of federal precedent and counter to all Congressional intent, and it would have severely harm the USVI economy in favor of Puerto Rico.

“The proposed amendment takes excise tax revenue paid by Virgin Islands rum makers on rum produced in the Virgin Islands and directly transfers it to Puerto Rico’s government coffers,” deJongh’s statement said. “Puerto Rico would end up with billions of dollars generated by rum production in the Virgin Islands. … Sen. LeMieux is directly attacked his fellow Americans in the Virgin Islands by doing Puerto Rico’s bidding.” Gov. deJongh continued by stating, “By promoting this amendment, Puerto Rico now seems willing to walk away from the long history of friendship and collaboration, which has linked America’s two Caribbean possessions.”

This phase of the “Rum Carry-Over War” has now ended. Let’s hope that each of these Caribbean U.S. Territories can move on to addressing the needs of their citizens instead of wasting the Congress’s time by proposing bills that have business to even be addressed. I look forward to any of your opinions and comments regarding this Rum War that just ended with the USVI – 1 and Puerto Rico – nil. Until next time…your Caribbean lifestyle reporter continues his work!

By Jim Walberg of Caribbean Islands Realty

The St. Thomas Ritz-Carlton just completed the entire re-design of 81 of their 105 two and three bedroom two residences!

As you may recall, the Ritz at Red Hook, St. Thomas is one of my favorite elegant places to stay in the Virgin Islands. This particular Ritz-Carlton was the beta test site for the Deeded Fractional Ownership concept for the Marriott Corporation over ten years ago. The outstanding results created at this Ritz-Carlton with the sellout of their initial fractional ownership opportunities launched the development of deeded fractional ownership within the Ritz organization worldwide. They have now expanded luxury villas at their Red Hook, St. Thomas location as part of their deeded fractional ownership product. Their success with this concept has now swept over the entire Caribbean.

Given that this was their first venture into the Residence Club market over ten years ago, it was time for the Ritz to refurbish their residences. What they have created is over the top! The new décor was designed to highlight the flair of the Caribbean while still keeping with The Ritz-Carlton tradition of pure elegance. Each refurbished unit also includes artwork by the resort’s in-residence local artist, Lucinda O’Connell.

“We are very excited to unveil this makeover to our Members as they return to their residences over the course of this year,” said Ronald Parker, general manager of The Ritz-Carlton Club, St. Thomas.

The fractional owners at the St. Thomas Ritz-Carlton also enjoy their own personal concierge services, which assist them with their every need prior to and throughout their stay - even the stocking of their unit with groceries before they arrive, plus, they have the use of the 53-foot catamaran, Lady Lynsey, and a full-service spa, salon and fitness center. The deeded fractional ownership allows Members and their guests to use a one-twelfth interest, for 21 days annually. As I have mentioned many times, this is a destination I highly recommend for your next visit to the Caribbean. Just a side note, the bay in front of the Ritz is THE kite-boarding center of the Virgin Islands. Until next time…fair winds!

By Jim Walberg of Caribbean Islands Realty

Given that I have sailed all my life, it is an eye-opener to be introduced to a Classic Motor Yacht as an option for a Caribbean charter vacation.

I was introduced to Wayne and Barbara two weeks ago, and their Yacht Flame - a classic motor yacht built by Feadship in 1956 - a Dutch ship builder that started in 1949. This is the yacht and owners, Wayne and Barbara Elsworth, that stepped up two weeks ago to see if they could assist my clients whose charter yacht cancelled on them just five days from their week long charter vacation in the British Virgin Islands. They are also great friends with the owners of Yacht Felicia , Chris and Julie Bennett, who I have featured on several of my past articles about the charter yacht industry.

With over twenty years experience, Captain Wayne and Barbara Elsworth know the U.S. Virgin Islands , and the British Virgin Islands intimately. A charter yacht vacation aboard their crewed power yacht is unforgettable. They both grew up on the shores of the Hudson River, only 150 miles apart. Coincidentally, their families Summered at the same Adirondack lake, just on opposite shores! It seemed inevitable that one day they would meet. It is ironic that it would be on a Caribbean island, 2,000 miles south of their native New York.

In 1973 Wayne discovered the islands while visiting his parent’s winter home on Great Exuma in the Bahamas. In 1979 he became a US Coast Guard licensed captain and has operated a variety of sail and power yachts ranging from 50 to 95 feet. He has sailed from Nova Scotia to Grenada and now has settled in the Virgin Islands. While in Great Exuma, Wayne’s father taught him to spearfish, Bahamian style. He is an avid hunter and can be counted on to bring home fresh fish, conch or lobster during your charter vacation!

Barbara Elsworth graduated Phi Beta Kappa, cum laude from the University of Vermont in 1983 with a degree in history and a great love of sailing. In 1987 she traveled to Antigua for Sailing Race Week , accepted a job delivering a sailboat to England and has never looked back. (This is the annual event that has changed the lives of many of my friends kids that I have sent to Race Week.) Barbara met Wayne six months later… and the rest is history.

When they are not chartering, Wayne and Barbara restore antique speedboats: the classic mahogany Chris Crafts and Garwoods. When they stumbled across Flame, a 1956 Feadship fallen into disrepair, it was love at first sight. Well, almost! Her restoration and reconfiguration took a full three years. They did all the work themselves: Wayne taught Barbara carpentry and expanded his own engineering talents. Flame is the culmination of their many years chartering and maintaining yachts.

Here are some specs of classic motor yacht “Flame”: 65′ long; 15′ wide; all cabins are fully air-conditioned; two person kayak; two color TVs with DVD and VCR; CD’s in the cabins; snorkel gear; 15′ outboard “dingy” for water skiing; dive plane; and much more!!!

Here is one of the quotes from their raving fans: “It was hard for me to believe that I could find new anchorages that I had not visited during the ten years we owned a charter boat! But, Wayne and Barbara dazzled us everyday.” Don and Bonnie - Ohio. Barbara and Wayne have been chartering together in the Virgin Islands for twenty years and these islands are their playground. Come aboard and let them show you all their secret spots. Contact me for more information. Until next time…your real estate and lifestyle detective continues his work…

By Jim Walberg of Caribbean Islands Realty

Two charter vacation yacht owners who are also the crews on their gorgeous yachts, checked in with Jim Walberg regarding some experiences from their current 2009 season in the Virgin Islands.

S/Y Three Moons: Randy and Shelly Tucker - Owners/Crew

The instability of the economy is only making us work harder at perfecting our positive image of being a high level professionally crewed yacht. Yes, we are all networking more and reaching out in new ways to contact prospective clients. We are emphasizing that no corners are being cut for our guests, no matter the cost or the economy. ALL INCLUSIVE still means “all inclusive” for our guests. We are a premium yacht with three professional crew members that continue to serve each of our guests in a royal style. This seems so much smarter than making “desperation deals”. If it results in a quieter season overall, then the results will reflect positively with the great changes that have been made to our yacht. All of us have our 2009 “to do” list and are happily getting it “done” with an extra week of time here and there between charters!

Also, visit us at the Spring Show in St. Thomas at Yacht Haven Grande. It will be another opportunity to show off our “stuff” to the various charter vacation brokers. And…our 1^st Mate - Becca Lee, has been working as a Tour Guide for Princess Cruise Lines here in St. Thomas for a couple of years between charters. Last month she was awarded with the prestigious “Tour Guide of the Year” award. We topped off her excitement with a nice tiara to wear while washing dishes in the Three Moons Galley! Being a crew member always keeps us grounded in a state of reality. Becca has created quit an impression with our guests this year because of her non-stop fun-loving style. And, Jim, the weather is sunny, 85 degrees, and the water has 100 foot clarity and is 80+ degrees. Hope to see you at the VICL Spring Boat Show! We may even stop by and visit you again during the off-season as we explore more of the San Francisco Area.

S/V Felicia: Chris and Julie Bennett - Owners/Crew

Good to hear from you, Jim! We enjoyed your article on Tuscany two weeks ago. It was very reminiscent of where we live in France during the off-season - but on a much grander scale of course. Just beautiful - would love to see the hotel some day, when we’re done with our house and able to actually do some more serious exploring in Italy and France.

2009 has been our transition year as we stepped up in size and scale with our new catamaran Felicia. We had such a successful run on Blu Moon that has really served us with clients following us to our new charter vacation sailing vessel. We’re actually doing great given it is our first year with a new yacht. We have the reputation in the industry as one of the top crew and charter experiences for our guests, however our catamaran is somewhat unknown in the industry because it wasn’t actively chartered for the past several years.

With any business “stuff happens” that causes you to need to be light on your feet and make adjustments. We are having one of those moments. We are in the midst of an insurance claim with a boat that sailed into us with six cruise ship passengers on board. S/Y Felicia was actually on her mooring, we gone into town for supplies, and the other boat got itself wedged between our starboard hull and our mooring ball. Don’t ask me how they came to be sailing between the boats in 20+ knot winds (they picked the most two expensive boats in the anchorage to sail between that day)….I don’t know. So…we’re in a lift at the moment having the lifelines, stanchion and bowsprit repaired. We had to already turn away a charter last week because we couldn’t go out in that condition. Just hope we can get some relief from the insurance company. We “splashed” back in the water last Friday so we are very excited to get back into the action of the business we love so much - creating an extraordinary sailing vacation for cherished customers. Until next time…fair winds. Please keep in touch. We love your articles!

So, if you would like more information about one of the most unforgettable vacation experiences you will ever have in Paradise, contact me and I will be glad to send you the information you will need. I look forward to hearing from you.