Plans for Resort on Epstein's Island Face Delays

In 2023, billionaire Stephen Deckoff, founder of Black Diamond Capital Management, purchased Great St. James and Little St. James, islands formerly owned by Jeffrey Epstein, for $60 million. Deckoff announced intentions to develop a luxury resort on the islands, with plans for a “state-of-the-art, five-star, world-class luxury 25-room resort.” The project was initially expected to open in 2024, but significant delays have arisen due to permitting issues.

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Little St. James, often referred to as “Epstein Island,” is located in the U.S. Virgin Islands, south of St. Thomas. The island gained notoriety as a central location in Epstein's sex-trafficking operations. Following Epstein's death in 2019 while awaiting trial on sex trafficking charges, the islands were sold as part of his estate.

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Despite the ambitious vision for the resort, reports indicate that little progress has been made. As of early 2023, the only construction permit requested was for an 8,800-square-foot warehouse, which was deemed incomplete due to the absence of an environmental assessment. Marlon Hibbert, the Coastal Zone Management Director, noted that the application aimed to reconstruct an existing metal-framed warehouse into a new concrete structure.

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Deckoff expressed his enthusiasm for the project, stating, “There is simply no place in the world as special as the U.S. Virgin Islands... I very much look forward to working with the U.S. Virgin Islands to make this dream a reality.” However, the lack of progress on the resort raises questions about the feasibility of the project and its timeline.

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Concerns have been raised regarding the potential impact of the resort on the local environment and community. Critics argue that the slow progress on permits may reflect broader issues related to development in sensitive areas, particularly those with a controversial history like Epstein's islands.

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The future of the resort remains uncertain as permitting challenges persist. Local media reports suggest that without significant advancements in the permitting process, the timeline for the resort's completion may continue to extend indefinitely.

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• “There is simply no place in the world as special as the U.S. Virgin Islands and I am humbled by the opportunity to share its splendor with visitors in a manner that will provide economic benefits to the region while respecting its culture, history and natural beauty. I very much look forward to working with the U.S. Virgin Islands to make this dream a reality.” — Stephen Deckoff, Founder of Black Diamond Capital Management

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• “The only construction permit that has been requested as of earlier this month was for an 8,800-square-foot warehouse, according to the report.” — Marlon Hibbert, Coastal Zone Management Director

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This situation highlights the complexities involved in redeveloping properties with controversial histories and the importance of adhering to environmental regulations.

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