Connected Capital LLP announces a milestone in a sustainable investment project that is making history in the Dutch Caribbean island of Aruba 

Published on December 11, 2019

On Thursday, November 14th, the Prime Minister of Aruba Ms. Evelyn Wever-Croes,Aruba’s, Minister of Infrastructure Mr Otmar Oduber, Mr. Danguillaume P. Oduber Minster of Tourism Public Health and Sports led the groundbreaking ceremony for Secrets Baby Beach Aruba in presence of members of the Aruba Parliament, Mr. Enrique Martinon Garcia CEO of International business of Grupo Martinon Grumasa, Alex Zozaya Chairman Apple Leisure Group, Mr Harmeet Singh CEO & Managing Partner of Connected Capital LLP and other distinguished guests. Scheduled to be completed in two years’ time, it’s the start of a development which will sustainably transform the lives of thousands of Arubians struggling with the consequences of the final closure of the oil refinery which for decades was one of the largest in the region.

This project is the fruit of a partnership between the government of Aruba as part of their long-term sustainability strategy, founding partner Connected Capital LLP based in London and International business of Grupo Martinon Grumasa.

In common with many Caribbean islands, Aruba has struggled over many years with an economy skewed towards a single sector. Starting with the original commissioning in 1929 of facilities for the refining and transhipment of oil extracted in nearby countries, that industry has dominated the Aruban economy. But as the refinery aged and the market changed despite several changes’ operation of the refinery as a major employer dwindled, and that chapter in Aruba’s economy is now over.

Tourism is the main revenue source for Aruba, but San Nicolas in the south-east, where the oil refinery was located, has significantly lagged behind Oranjestad and Palm Beach in the north-west, the latter being especially developed. As a result, most of San Nicolas’s working population is forced to commute to work in Oranjestad and Palm Beach where the low and high-rise hotels are situated on the island, so adding to its cost of living. Regenerating Aruba’s south with jobs and infrastructure and so rebalancing the economy is a major government goal within the context of long-term, sustainable development where tourism is the seed for a diverse base of economic and cultural growth.

Where in the past centralised regeneration efforts have not succeeded as hoped, the government of Aruba has latterly tilted towards encouraging both foreign and local investment in its vision where the citizens and the natural environment play a prominent role, as set out in the 2017 policy document which promises “to improve the investment climate in Aruba and to stimulate an innovative, competitive and diversified economy, which contributes to a higher quality of life for all citizens”. 

Founded in 2016, the alternative investment boutique Connected Capital LLP connects family offices and institutional investors with green, sustainable business opportunities based on Environmental, Social, Governance (ESG) principles to deliver positive social and environmental impact alongside investment returns, to promote responsible investment for long-term positive and sustainable impact, and to meet the UN’s Sustainable Development Goals.

In the last two years through Connected Capital Aruban subsidiary Three Rivers Real Estate NV, we have worked closely with Government of Aruba to take the government’s vision to its current stage of implementation by developing a comprehensive thesis for the island as a safe investment destination with all the fundamentals in place to present an array of opportunity to realise the potential which has been frustrated for so long.

To implement this ambitious vision, Connected Capital is delighted to have as the lead International strategic partner Grupo Martinon Grumasa. Chaired by Enrique Martinón Garcia, Grupo Martinon is a highly successful vertically integrated hospitality and tourism-related conglomerate with a proven successful track record in developing, constructing, managing and operating hotels and leisure facilities in the Caribbean.

This initiative has the commitment for developing two hotels totalling 900 rooms on Aruba’s Baby Beach Seroe Colorado, a popular white sand-lagoon in San Nicolas. 

The first is Secrets Baby Beach Aruba, a 600 key adults-only hotel to be operated by Apple Leisure Group (ALG), the vertically integrated North American travel, hospitality and leisure management group chaired by Alex Zozaya and owned since 2016 by KKR & Co and KSL Capital Partners. 

AMResorts, a subsidiary of the Apple Leisure Group, will provide sales, marketing and brand management services for the Secrets Baby Beach Aruba.  AMResorts is a leading hospitality company providing services with eight Luxury resort brands throughout the Caribbean and Europe, of which Baby Beach will be a Secrets hotel catering for adults only. Secrets Baby Beach Aruba will join AMResorts’ 72 award-winning properties throughout Mexico, Jamaica, Curaçao, the Dominican Republic, Costa Rica, Panama, Spain and now Aruba.

Javier Coll, AMResorts Co-founder and Apple Leisure Group Executive Vice President and Chief Strategy Officer said: “The Caribbean region remains a main focus of expansion for ALG and we are thrilled to be adding the destination of Aruba to our growing branded portfolio. The island continues to be in high demand, with over one million yearly visitors and the recent emergence of a major luxury eco-tourism market. These factors, along with the Caribbean’s overall forward momentum, give us great confidence in the short and long-term potential of the destination.”

Also, in the long term, there are calls for San Nicolas to join UNESCO’s creative cities network (UCCN). UCCN member cities recognise the importance of sustainable and inclusive urban development and commit to enhancing the role of culture and creativity for the implementation of the 2030 Agenda for Sustainable Development.