New York-based investment firm Paulson & Co. has acquired a majority stake in The St. Regis Bahia Beach Resort, Puerto Rico and the Bahia Resort & Golf Club.
The amount of Paulson's investment was not revealed. Paulson is taking an 80 percent stake in the resort, according to the Financial Times.
Paulson is acquiring an interest through a "comprehensive recapitalization" of BBP Partners - a joint venture between two of Puerto Rico's leading real estate developers, Interlink Group and Munoz Holdings.
The St. Regis Bahia Beach Resort, Puerto Rico is located on 483 acres in a master-planned community 25 minutes from San Juan's Luis Munoz Marin International Airport. The property includes the St. Regis hotel, ocean view villas, golf and ocean view condominiums, two miles of beaches and an 18-hole golf course designed by Robert Trent Jones, Jr.
More than $125 million worth of residences have been sold at the resort. The St. Regis resort cost $150 million to build and there are plans to develop another $500 million worth of residences and resort amenities in the next 10 years.
Hedge fund manager John Paulson told the FT that tax changes should help make Puerto Rico more appealing to international investors
"As time goes on, Puerto Rico as a financial center will continue to grow," he told the FT. "Financial firms in general could become a more important part of the economy, from family offices or fund of funds or other investment companies."