Puerto Rico’s government has authorized the construction of a $2 billion luxury development, known as Esencia, in the island’s southwest coastal town of Cabo Rojo. Environmentalists have strongly opposed the project, citing concerns that it will strain the U.S. territory's resources and threaten local wildlife.
The project, slated for 2,000 acres, includes plans for 500 luxury hotel rooms, 1,200 private residences, two golf courses, an equestrian center, a school, and a medical center. Global investment firm Reuben Brothers and real estate development company Three Rules Capital, the project's developers, stated that more than 75% of the development would be dedicated to conservation and green spaces. They also highlighted plans for restoring wetlands and rehabilitating coastal dunes and mangrove ecosystems.
According to the developers, the Esencia project will be powered entirely by renewable energy and will feature its own water and energy infrastructure. Hotel brands Mandarin Oriental and Rosewood Hotels & Resorts are reportedly joining the project. The developers anticipate sales will begin later this year, with the first residents and guests expected by late 2029.
The Adjunct Board of the Permit Management Office issued the approval late Thursday, which was shared with The Associated Press on Friday. Braulio Quintero, executive director of the Puerto Rico-based Institute for Socio-Ecological Research, expressed strong opposition, vowing to "fight this in every forum possible." Quintero criticized the approval process, stating it occurred "without a public hearing, without governmental transparency," and called for the developers to face public scrutiny.
Developers have countered environmental concerns by emphasizing their commitment to environmental protection and public beach access. They project that the development will generate over 17,000 jobs and aim to establish a benchmark for "environmentally conscious luxury development."