THE Senate Committee on Resources, Economic Development and Workforce and the House Committee on Natural Resources in a joint hearing on Tuesday heard opposing views on the proposal to lease the Marpi property previously occupied by Mariana Resort & Spa.
The Department of Public Lands has asked the Legislature to review Mariana E-Land’s proposal to lease the 144.92-hectare property, which includes a deteriorating golf course, in the northern part of Saipan.
The Senate and the House committees first met on March 25, 2025, but the discussions were so long that the presiding officers, Sen. Corina L. Magofna and Rep. Angelo Camacho, had to schedule a continuation of the joint meeting.
On Wednesday, members of the community were given the opportunity to express their thoughts about the proposed land lease.
Also present were acting DPL Secretary Richard Villagomez and other DPL officials.
‘Very clear’
Former Precinct 4 Rep. Sheila Babauta, speaking as a “concerned citizen and a daughter of Saipan,” said questions had been raised regarding the review process, the pending case in the court pertaining to the request for proposals, and the negotiation.
She said it is “very clear” that more time is needed to review the proposal.
Babauta noted that the Legislature was not involved in the negotiation. As a result, there is a lot of information that members of the community and other stakeholders need to catch up on, and there are many opportunities to discuss the needs of those who should be at the table, she said.
The proposal involves “the largest land lease in the CNMI, and [is] a huge topic that we really need to pay attention to, as a community and as we take our time as leaders,” she added.
The proposed 40-year land lease with a potential 15-year extension “is big deal for us because we don’t have a lot of land here in the Marianas,” Babauta said.
She reiterated that more discussion is needed in the community, especially in Precinct 4 where people will feel the impact of this “development.”
“Indigenous lands are best stewarded in indigenous hands. We know how to care for the land, we know how to heal the land, and we know how to best steward the land,” she added.
She asked lawmakers, “Is this the type of development that we really need?”
She said whenever she travels off-island, she notices that “it’s never a full flight,” referring to the number of passengers on the plane.
“Are our hotel rooms full? This is a different time from five years ago,” she said, adding that “for us to depend on tourism as bread and butter has not been working. So, is this the type of development that we need at this time? Do we need more hotels rooms? Do we need another golf course?”
Babauta also asked, “Why lease the whole property to one investor?” She wanted to know if there was a way to lease one portion of the property to one investor and another portion to a different investor.
“We need to make sure that it’s the right decision, especially … at the expense of our land,” she added.
The economy
Patrick Leon Guerrero, another resident of Precinct 4, reminded lawmakers of the CNMI’s economic challenges and the government’s financial situation.
Guam, he said, is recovering from the economic impact of the Covid-19 pandemic restrictions, but the CNMI is not.
“We don’t have a lot of developers knocking on our doors. There is nobody coming over. Like former [Rep.] Babauta said, the flights are pretty empty,” he said.
“So, we have somebody right now who is willing to take the risk, [and invest]. DPL … knows what the maintenance cost is just to keep it … semi-functional,” he said.
Leon Guerrero said the CNMI government is spending money every month to maintain the former Mariana Resort property while “there is a developer trying to come in, and make an investment in our economy.”
He said one of the first steps to help the local economy recover is to allow the renovation of the former Mariana Resort. He noted that Mariana E-Land is probably the single largest investor in the CNMI.
DPL said it spends between $22,000 and $25,000 a month to maintain and secure the property.
Mariana E-Land intends to invest a minimum of $220 million in the renovation of existing structures and the improvement of the premises.
On Saipan, Mariana E-Land operates Kensington Hotel, Pacific Islands Club and Coral Ocean Resort.
