Hillview Limited

completed

Summary Of Project Information (SPI)Project NameFiji: Outrigger Reef ResortRegionAsiaSectorProject No008650Projected Board DateJune 12, 1998Company NameHillview LimitedTechnical Partner and/or Major Shareholders Coral Coast Fiji Limited (CCFL), a registered Fiji company, would own about 43% of Hillview Limited''s (the new project company’s) share capital. The shareholders of CCFL are Geoffshaw Hospitality Management Pty. Ltd., and Cliff Investments Pty. Ltd ., both Australian registered companies owning 80% and 20% of CCFL shares, respectively. IFC and the European Investment Bank (EIB)will hold about 48% of the equity in the form of preferred shares. Outrigger Hotels provide the balance (9%) of equity financing and will manage the hotel. Outrigger is the largest operator in Hawaii with over 9,000 rooms under management.Project Cost Including Proposed IFC Investment Total project cost is estimated to be US$25.3 million of which IFC will provide US$4.5 million in quasi-equity Location of Project and Description of SiteThe project is located 75 kilometers south of Nadi Airport along Fiji''s Coral Coast. Description of Company and Purpose of Project The project supports the re-development of the existing 68 room Reef Resort to a 255 room. The new hotel will have 160 standard rooms, 47 bungalows and 48 waterfront rooms. This would be Fiji’s first major tourism investment in nearly ten years and would make an important contribution to economic development and employment in the area. The tourism sector is the largest source of foreign exchange earnings for Fiji and over 250 jobs will be created. IFC participation completed the financing package and provided strength for the project. Environmental Category and Issues This is a category B project according to IFC’s environmental review procedure. Key environmental issues associated with this project include: sewage and liquid effluents disposal, solid waste disposal, construction impacts, protection of coastal resources, employee housing, water and power supply, chemicals application, CFCs. Health and safety issues include employee safety and training, fire protection measures and emergency response. While this is a category B project, the sponsors were required to prepare an independent focused environmental impact study (EIS) addressing the above key issues. The sponsors have agreed to implement the recommendations outlined in the EIS including, the installation of a sewage line to the nearest municipal treatment facility. In addition, the sponsor has committed to conduct, as a condition of first disbursement of IFC''s investment, an independent fire safety audit of all structures. The is from the Public Information Center.Date SPI sent to InfoShop      April 29, 1998“This Summary of Project Information is prepared and distributed to the public in advance of consideration of the proposed transaction by the Corporation’s Board of Directors. It is provided for the purpose of enhancing the transparency of IFC’s activities and should not be construed as presuming the outcome of IFC Board consideration.”For Additional Information contact: Corporate Relations Unit -telephone: (202) 473-7711facsimile: (202) 974-4384L:\SPI\SP8650.DOCApril 28, 1998 1:49 PMEnvironmental documents for this project are available at http://www.ifc.org and from the World Bank InfoShop (http://www.worldbank.org/html/pic/aboutinfo.html).