Hotelier Ewald Biemans is pleased to tour his new baby with guests. Tara Beach Suites finally opened last and joined the already successful Bucuti Beach Resort. Ewald’s story as a developer is interesting. He arrived here in the late seventies, worked for legendary hotelier Ike Cohen – he almost became Ike’s son-in law; then took off to forge his own destiny. He hooked up with beautiful Susan along the way – she always looks at him with an adoring gaze, a la Nancy Reagan - and together they created an impressive holiday enclave. I am using the word enclave because their universe is intimate, elegant and environmentally protective at the same time, which is different than the rest! Tara is reportedly already booked through the balance of the year, there is a demand, Ewald says for our unique product, in direct competition, for the first time with the Hi-Rise hotels. By the way, pre-registration is already possible on line at Tara Beach Suites, making check-in obsolete. Just flash an ID at the one-clerk front desk and you’re in. From Ewald’s point of view the whole process was wonderful, having created a new resort. He spent six million dollars and ended up with just what he had dreamed of, including a spa. As a small island developer Ewald reports suffering from the duality of government. On one hand the politicians are all super-pleased to pose for pictures at the ribbon cutting ceremony, yet when it comes to incentives for the people who are willing to dig into their pockets, all governments insist on funneling cash into their own coffers instead of alleviating the builder’s financial stress. You know that when Bucuti Beach Resort was built, the plans called for 150 rooms. As a cautious individual, Ewald decided to operate in two phases, built half now, including the infrastructure for a larger property, then construct the rest later, depending on the economic climate. The permits were filed and approved and 150 rooms were in the pipeline, as far as the government was concerned. Bucuti got built and thrived. But when the time to add the next wing was right, a hotel construction moratorium was in place. During the stage of No-More-Development here, building permits were automatically denied and Ewald found himself in court fighting to complete his half-baked project. He won, naturally, after a dragged out legal shoot-out, he took his building plans out of the drawers. He was then faced with a fresh dilemma. Should he want to replicate the Bucuti design, 50% of his rooms would have faced Costa Linda’s nice, but not very nice back-side. Undaunted, Ewald went back to the drawing boards redesigning 100% ocean front for his chic accomodations. The opening party, was attended by 400 people, members of the island’s A-list. Prime Minister Oduber sent a telegram which arrived 24 hours late. Ironically, Ewald shares, e-mail invitations went out three weeks ahead of time. They were beautifully designed by Danny Biemans, Ewald’s son. Then a long discussion with the Post Office ensued. Could you deliver invitations within three weeks, Ewald asked. The officials promised, yet much to Ewald’s chagrin, many invitations are still in the mail. Typical of a small island some things work, some don’t. Ahead of him, Ewald says, he sees another face-off with the government. Having been denied a tax holiday, Ewald is nevertheless applying for one. All of the properties built on the island up until recently enjoyed one, and he is planning to prove his point in court. It is in the interest of the government he explains, to encourage development and get the income as direct tax from the percentage tacked on guests’ bills at the end of their stay. However under today’s administration, the government would like to see the corporation taxed, and import duties paid, with no concessions, no relief, no incentives for development. On one hand, Ewald points out, they ask us to go ahead and make our dream a reality. On the other hand they make it very, very difficult to actually materialize any project. He sees that same absurd reality in every aspect the officials touch. On an island concerned with conservation, a certain former Minister of Transport granted 140 watersports permits – pollution, noise etc. It’s that duality, Ewald shares, that craziness, that is difficult to deal with. But he is a happy person, anyway, he adds, having been tested in fire, he survived and prospered. Following my conversation with Ewald I called the grey-eminence at the Ministry of Finance and the office of Economic Affairs and was explained the following: Under the current climate, as the European Union and the OECD, the Organization for Economic Cooperation & Development, a fiscal watchdog, are watching the tax structures of companies and countries globally, if Aruba would like to adhere to international standards and keep off the black list, it must not grant special favors, or tax holidays to developers. It’s a privileged of the past, a dead practice; 2% corporate tax is what the government is asking, it is not too much, the developers should be able to pay it. To be commended - the new Tara Beach Suites Lobby is maintained, polished to perfection, by a student of Centro Man Na Obra, a local school caring for those with learning disabilities.
