Royal Caribbean and the government of the Bahamas broke ground Monday on the joint venture to develop a strip of land in the cruise port of Nassau called Paradise Island.

The government in 2023 gave the OK for the cruise line to develop a 17-acre portion into what will be called Royal Beach Club Paradise Island when it opens in 2025. Cruise line executives and government officials, including Prime Minister Philip Davis, grabbed shovels along the white sandy beaches with turquoise water in the background.

“With the signing of the deal [for] Royal Beach Club Paradise Island, we embark on this project to further enhance the vitality of our tourism product,” Davis said. “Signing today’s agreement, we add another world-class experience to our tourism offerings. And even more importantly, we take a bold step toward greater Bahamian empowerment in the tourism industry.”

The site is on the western edge of the strip of land that runs alongside the waterway through which ships brought nearly 4.5 million passengers in 2023, making Nassau the world’s busiest cruise port of call.

Royal Caribbean’s site expects about 2,000 visitors a day. They will be ferried over from the port but then return by land going through downtown Nassau.

It’s the first site for the smaller-sized beach club private destination Royal Caribbean plans to build out as opposed to its private island and resort destinations such as Perfect Day at Coco Cay in the Bahamas and Labadee on Haiti’s northern coast.

The Paradise Island spot will play up Bahamian culture alongside traditional offerings such as the beach, cabanas, four food and drink venues and three pools with swim-up bars. The site is being designed by a Bahamian architectural firm, and will give space for local artisan work for sale and live local music.

The project is a public-private partnership under which Bahamians are invited to own up to 49% of it. The plan is for locals to manage the experiences offered at the resort.

The cruise line will own 13 acres of the property while 4 acres go to Crown Land, which is a territorial area owned by the state. The cruise line will also pay a new tourism levy in exchange for the development.

“Marking more than the beginning of the construction process, today’s groundbreaking event symbolizes partnership, momentum and continued economic development for so many Bahamian entrepreneurs and the entire community,” said Jason Liberty, the cruise line parent company Royal Caribbean Group’s President and CEO. “We are grateful to our partners for their support, especially the Bahamian government, who stand with us here today in celebration of what is to come.”

The additional attraction to the port augments a $300 million overhaul of the Nassau Cruise Port that had its grand opening last year.

Already the port has expanded its capacity to six ships, including the ability to dock three of the massive Oasis-class ships from Royal Caribbean at once.

The revamp includes a new terminal building, Junkanoo museum, 3,500-person amphitheater, living coral exhibit plus more entertainment, food, beverage and retail space. Once complete, the port’s capacity will jump to more than 33,000 passengers per day. It had been around 20,000 a day.