Herathera Island resort will be rebranded under the Amari Estates Company, Property Report has revealed, after the Thai-based hotel group ONYX Hospitality were appointed managers of the resort in November 2010.
Onyx Hospitality is a joint venture in which Amari Estates holds a minority stake.
Refurbishing and rebranding the resort will cost US$3.31 million, the Amari said, adding that the group would sign the official agreement on January 15, 2011.
A long-running legal dispute over the Herathera Island Resort between the Maldives Tourism Development Corporation (MTDC) and Yacht Tours Maldives (YTM) concluded in January 2010.
MTDC had claimed that YTM had been running Herathera Island Resort without paying rent and took the company to court. In May 2009 YTM was ordered to pay US$8 million in outstanding rent to MTDC.
YTM stopped paying rent in December 2008, claiming MTDC had failed to fulfil a contractual obligation to build a channel between Herethere Resort and Hulhudhoo, an adjoining inhabited island, by 30 November 2008.
In January 2009 MTDC agreed to pay Yacht Tours US$3.5 million to end the court dispute, and regain control of the resort.