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Inside the Reconstruction and Rejuvenation of St. Thomas' Frenchman's Reef

$425 Million Renovation Brings 486 Rooms Back to Island
Following devastation from Hurricanes Irma and Maria in 2017, the resorts at Frenchman's Reef in St. Thomas, U.S. Virgin Islands, have reopened. (Kollin Altomare Architects)
Following devastation from Hurricanes Irma and Maria in 2017, the resorts at Frenchman's Reef in St. Thomas, U.S. Virgin Islands, have reopened. (Kollin Altomare Architects)
Hotel News Now
November 27, 2023 | 2:13 P.M.

Rough weather is a constant threat in the Caribbean, but 2017 packed a double punch when Hurricane Irma and Hurricane Maria struck the northeastern Caribbean islands.

On the U.S. Virgin Islands destination of St. Thomas, the storms caused massive water and wind damage to the island's largest resort compound, the Frenchman's Reef Marriott Resort and adjacent Morningstar Beach Resort, closing both immediately.

Since then, the resort compound started to rebuild; changed management, ownership and brands; paused during the pandemic; and just reopened this year following a $425 million renovation.

Today, the former hotels are now the Westin Beach Resort & Spa and Morningstar Buoy Haus Resort, an Autograph Collection Hotel, bringing a combined 486* rooms back to this popular tourist and cruise destination.

"It was quite a journey," said Joe Gould, managing director of ownership company Fortress Investment Group. "It was a very unique product that needed a lot of love."

Key Facts

At the time of the hurricanes, both resorts were owned by real estate investment trust DiamondRock Hospitality Company and managed by Marriott International.

DiamondRock initiated the post-hurricane rebuilding efforts, but the project stalled after the pandemic began. DiamondRock had received approximately $240 million in insurance proceeds by then, but the property was still early in the rebuilding process.

That's when Fortress stepped in. Gould said that the real estate and history of the hotel "matched up with what we look for," and the company had considered different ways to get involved almost from the beginning, finally stepping in as buyers of the two-property portfolio in 2021. The price was not disclosed officially, though the Virgin Islands Daily News reported that Fortress made the acquisition for $35 million, with DiamondRock retaining rights to future profits in the hotels once Fortress reached a certain benchmark.

"This is a perfect picture of just exquisite real estate" that needed a serious capital expenditure investment, Gould said.

To get there, Gould said partnership with local governments was a must, especially so the project could take advantage of available incentives.

"We immediately sat down with the governor to understand what the incentive package was, how we could work together and how we reintroduce this to the community," Gould said.

With local governments eager to keep tourism flowing into the region, the island's largest resort complex was a top priority.

Paul Altomare, chief operating officer and partner at Kollin Altomare Architects — responsible for design and construction — said that the support of local government ensured construction crews were at the ready.

"That helped us keep the ball rolling because we were designing and under construction at the same time," he said.

Kollin Altomare oversaw the master planning, design and construction of the entire project, which included expansions and upgrades to guestrooms, lobbies, bars, spa, fitness center and event spaces, as well as making site improvements and developing hurricane-resistant structures.

History

The resort opened in 1973. It was owned by Marriott, and DiamondRock purchased the compound in 2005 as part of a portfolio deal valued at $315 million, which also included the Marriott Los Angeles Airport, Renaissance Worthington in Fort Worth, Texas, and the Marriott Atlanta Alpharetta in Georgia.

In 2011, the main hotel, by then known as the Frenchman's Reef Marriott Resort, underwent a $48 million renovation to upgrade and expand.

Marriott was managing the hotels at the time Hurricane Irma and Hurricane Maria hit. Fortress brought Aimbridge Hospitality on to manage the hotels after the 2021 acquisition.

But throughout the twists and turns of ownership and management changes, project stakeholders agreed that local residents and longtime employees remain the thread that ties the resort's past to its present.

Kurt Wiksten, managing director of Frenchman's Reef, said his favorite part of the project has been seeing the way locals have come back to the hotels as visitors and employees.

"We have a history. ... We have associates today whose grandmothers and moms and dads worked here," he said. "We're trying to uphold that history and create that longevity for future generations on the island to be able to come back to the hotel."

Wiksten told a story about the first Sunday brunch the Westin hosted after opening.

"Sundays are very important here on the island and families go to church, and on our first Sunday open in May, we had about 400 local people who came in for brunch," he said.

What's New?

Mike Dalezman, principal at Kollin Altomare, headed up the day-to-day operations on the properties during the rebuild. He agreed that the immense pride locals and employees have always felt for the resort fueled the design process.

"That pride helped us so much, early on," he said. "We had that history from the employees, to walk us through things they knew about, and it was an opportunity to enhance the property the way they wanted it, too, and build it up."

Cohesive branding was a big part of Gould's intentions. The overall campus is known as Frenchman's Reef, and beyond that, he saw "an opportunity to upbrand" both resorts, to Autograph Collection and Westin.

"The elements we brought in fit better with the Westin brand," he said, referencing the jogging trail, water activities, the catamaran guests can charter and the spa.

Today, the finished product "still holds a lot of the history, but does have a very different elevated experience and look," Dalezman said.

The campus now has 486 rooms in two hotels, a Heavenly Spa, nine restaurants and lounges, four pools overlooking the sea, shops and 85,000 square feet of meeting and event space.

The fitness center and spa were expanded, and the team added pickleball courts halfway through renovation. Guestrooms, lobbies, bars and restaurants were all redone, with the goal of opening up sight lines to the Caribbean Sea.

"Literally, every nook and cranny was touched," Gould said.

Now, windows, open corridors and staircases all lead to stunning views of blue water and boats anchored in the bay. Indoor-outdoor lobbies, bars and restaurants offer comfortable seating in wicker chairs with neutral upholstery, while statement lighting and fire elements add excitement.

Wiksten summed up his favorite part of the new resort: "It's the staff — seeing their smiles and hearing their stories," he said. "They are the heart of the house and everything the guests experience."

*Correction: The story has been updated to reflect the accurate room count.

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