Club Med and VICI Properties Announce Acquisition and Redevelopment of Carambola Beach Resort

Why It Matters

The redevelopment brings Club Med’s premium all‑inclusive brand back to U.S. soil, boosting tourism and job creation in the Virgin Islands while showcasing a green‑focused hospitality model.

Key Takeaways

• Club Med partners with VICI Properties for Carambola redevelopment.
• 150-room resort will join Club Med's Exclusive Collection.
• Project targets BREEAM and Green Globe sustainability certifications.
• Expected to create ~200 direct jobs and similar indirect jobs.
• Construction starts summer 2026; reopening slated Q4 2027.

Pulse Analysis

Club Med’s decision to redevelop Carambola Beach Resort marks a strategic homecoming to the United States, tapping into the growing demand for upscale, all‑inclusive experiences among North American travelers. The U.S. Virgin Islands have become a focal point for luxury tourism, benefitting from improved air connectivity and a reputation for pristine natural settings. By positioning the new property within its Exclusive Collection, Club Med aims to differentiate itself from mass‑market resorts, offering elevated design, personalized service, and a curated island experience that appeals to affluent vacationers.

The partnership with VICI Properties under a triple‑net lease structure provides Club Med with a capital‑light model that transfers development risk to the real‑estate specialist while securing long‑term operational control. VICI’s acquisition and financing of the 150‑room resort enable Club Med to focus on brand standards and guest experience. Sustainability is woven into the project’s DNA, with targets for BREEAM and Green Globe certifications that align with the company’s "Happy to Care" ethos and broader industry moves toward eco‑friendly hospitality. This green focus not only reduces operational costs but also resonates with environmentally conscious travelers.

Economically, the resort is poised to become a catalyst for the Virgin Islands’ labor market, projecting roughly 200 direct positions and an equal number of indirect roles in local supply chains, from tour operators to artisans. Club Med’s commitment to community engagement—through training programs and partnerships with local farmers—reinforces a model of responsible tourism that can be replicated across other Caribbean destinations. The development underscores a larger trend of premium brands investing in sustainable, experience‑driven properties to capture post‑pandemic travel growth.

Deal Summary

Club Med and VICI Properties announced that VICI has acquired the Carambola Beach Resort in the U.S. Virgin Islands and entered a long‑term triple‑net lease with Club Med. VICI will fund the resort’s redevelopment into a 150‑room Club Med Exclusive Collection property, with Club Med to operate the hotel upon completion. Construction is slated to begin in summer 2026 with opening planned for Q4 2027.