After 20 Years, PFA Sells Christiansted’s King’s Alley Hotel for $3.65 Million
Gov. Albert Bryan Jr., in his capacity as chairman of the V.I. Public Finance Authority, has reportedly signed off on the documents finalizing the sale of Christiansted’s King’s Alley Hotel for $3.65 million, according to a Government House release.
2022-03-24 13:45:19 - VI News Staff
A company named Neighborhood Establishment has reportedly purchased the hotel and the undeveloped property next to it. According to Government House, the company plans to develop the property, along with the King Christian Hotel into a major enhancement to the Christiansted Boardwalk.
In 1995, the PFA loaned $3 million to Development Consultants to renovate the King’s Alley area of downtown Christiansted. The PFA acquired the 21-room hotel in 2001 after Development Consultants defaulted on what had grown to a $4.3 million debt. It invested several million more dollars to try to eventually sell it for a profit. It owned the hotel for the next 20 years.
King’s Alley Hotel was run by King’s Alley Management Inc. According to Government House, KAMI operated and managed the King’s Alley Walk and Hotel for several years and had a total of five full-time employees and three part-time employees.
The plan is, once fully renovated and integrated, the Kings Alley Hotel is projected to become part of the King Christian Hotel and feature more than 100 hotel rooms, eight food and beverage and retail outlets, event space, a pool, courtyard, 27 parking spaces and two boat docks accommodating 20-plus vessels.
“Neighborhood Establishment presented a fantastic plan that not only will beautify the already picturesque Boardwalk, it also will greatly enhance the appeal of Christiansted and the entire island of St. Croix as Tourism destinations,” Bryan said in the release.
The Government House release says the renovations to both the King Christian and King’s Alley hotels is estimated to generate 150 construction jobs and 100 full-time positions between the various properties, restaurants, and retail establishments.
“This sale, in addition to the renovation of the King Christian Hotel and recent openings of the Grape Tree Bay and Divi Carina Bay Hotels, and the planned redevelopment of Hotel on the Cay all contribute to a resurgence of the hotel industry in St. Croix not seen since before Hurricane Hugo in 1989,” Bryan said.