The Board of Trustees of Galveston Wharves signed a Memorandum of Understanding (MoU) with Royal Caribbean Cruises on 5th December for a new cruise terminal. (pictured L-R Rodger Rees, CEO/Port Director, Port of Galveston and Michael Bayley, CEO/President, Royal Caribbean International) sign a MOU
The MoU outlines the general terms for a new long-term business agreement for the development and operation of the cruise terminal, which could lead to a 60-year transaction – a 20-year initial term with four 10-year options, the port said.
While specific designs and costs were not announced, some details were revealed. The new terminal will cover around 200,000 sq ft on 10 acres of land in the southeast area of the port known as Pier 10.
Improvements to the pier bulkhead and apron will be made to accommodate the cruise line’s largest vessels. In addition, a staging and loading area, bus and taxi staging areas and substantial parking will be built. The new facility is due to open in the Autumn of 2021.
“This new cruise terminal to be built by Royal Caribbean allows the port to continue investing in our infrastructure while growing our cruise business exponentially. This partnership will bring both larger class ships as well as more visitors to the city of Galveston and the region,” said Port Director/CEO, Rodger Rees. “This long term lease agreement represents Royal Caribbean’s confidence in the Port of Galveston’s efficient cruise operations and the ability to attract passengers on its current and future sailings. Galveston is on course for being a global destination for cruising and we are thankful for partners like Royal Caribbean.”
“Over the last 15 years, Royal Caribbean has brought over 2.4 mill guests to Galveston driving an economic impact of $65 mill each year. The development of a new terminal is crucial to our continued growth and expansion of the brand in the region,” said Michael Bayley, Royal Caribbean International President and CEO. “We look forward to continuing our outstanding relationship with the Port of Galveston and are excited about our plans for a state-of-the-art facility with a bold new design and technological advancements that will considerably enhance our guest experience.”
Royal Caribbean currently has two ships cruising out of Galveston, ‘Liberty of the Seas’, the largest cruise ship to sail from Texas and ‘Vision of the Seas’. The Port said that it expected the new cruise terminal to generate an additional 1 mill passengers halfway through the term of the contract.
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