Antigua PM backs $100 million Sandals expansion with overwater bungalows at Dickenson Bay

Prime Minister Gaston Browne is defending plans for a major expansion at Sandals Grande Antigua that includes the construction of overwater bungalows, arguing that the country must continue to strengthen its luxury tourism product to remain globally competitive.

Speaking on his weekly radio programme on Saturday, Browne pushed back against criticism of the proposal, which forms part of a broader investment reportedly exceeding US$100 million by Sandals Resorts. The project is expected to add more than 100 rooms to the property, including roughly 16 overwater bungalow units.

According to Antigua News Room, Browne said the development is designed to increase tourism earnings while ensuring continued public access to Dickenson Bay, one of the country’s most visited beaches.

He stressed that the government has already set limits on where the structures can be built.

“What we've said to them, though, is that they cannot build those overwater bungalows in the middle of the beach,” Browne said. “They will be going southwards towards the groyne so that they do not impede the use of the beach by other users.”

The prime minister dismissed concerns that the project would restrict access to Dickenson Bay, noting that the bungalows would be built over water rather than occupying beach space.

“These are not going to take up beach,” he said. “Dickenson Bay will still be accessible to all stakeholders.”

Browne said Antigua and Barbuda cannot afford to turn away high-end tourism investment, particularly as competing destinations continue to generate significant revenue from luxury travel.

He pointed to destinations such as the Maldives, Bora Bora and Seychelles as examples of countries that have successfully built strong tourism economies around premium overwater accommodations.

“We are barely generating maybe US$2 billion a year in tourism revenues and people say we have too many hotels,” he said.

The prime minister also highlighted the revenue potential of luxury units, noting that overwater villas can command nightly rates in the thousands of US dollars. He referenced similar accommodations at Royalton Antigua, which he said already achieve rates of around US$3,000 per night.

“These units provide a high yield,” Browne said. “They're far more exciting. It enhances the product and places us in a more competitive space compared to other regional countries involved in tourism.”

He added that increased earnings from luxury developments could translate into stronger hotel profitability and improved wages and benefits for tourism workers.

Addressing environmental concerns, Browne said modern engineering and mitigation measures can reduce risks associated with overwater construction in hurricane-prone regions, pointing to existing structures in Antigua that have survived major storms.

“There are some people who believe they will get blown down during a hurricane,” he said. “Even if they were to be blown down, they're insured and they would have to build back.”

Browne also said Sandals Executive Chairman Adam Stewart believes the new bungalows could become among the most attractive in the region, strengthening Antigua’s position in the global luxury tourism market.

The expansion forms part of the government’s broader strategy to increase hotel room stock and attract higher-spending visitors, as officials continue to court investment in the island’s tourism sector.

“As far as we can build out more of those overwater bungalows and they do not impact other users and stakeholders, I think we should encourage them,” Browne said. “Because it will help to uplift our product.”