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Caneel Bay Will Remain National Park; Appeal Denied

A judge ruled earlier this week that Caneel Bay will remain part of the National Park. This ruling will hopefully end the years-long battle over land ownership rights of the 150-acre parcel.

Chief Judge Theadore A. McKee issued a relatively quick opinion affirming the lower court’s decision to award the Caneel Bay parcel to the National Park Service. Here is the opinion in its entirety:

EHI Acquisitions,LLC appeals the District Court’s grant of Defendant’s motion for summary judgment.

In her well-reasoned and thorough opinion, Judge Krause explained why EHI is not entitled to relief and why the Defendant was entitled to judgment as a matter of law. As Judge Krause detailed, even if the relevant indenture is ambiguous, extrinsic evidence makes the result clear. We can add little to Judge Krause’s analysis and discussion, and we will therefore affirm the District Court’s order substantially for the reasons set forth in that opinion.

The area formerly occupied by the posh Caneel Bay Resort is set to be redeveloped by the National Park. Bids by interested parties were placed in March. The National Park has yet to announce who has bid to redevelop the property, nor have they announced the winning bid or if one has even been chosen.

The National Park plans to bring back the 166-room resort while expansion public access throughout the property. As of May 2025, guests can park at Caneel Bay and walk to Caneel Beach. They can also park at Caneel Bay and take a paid shuttle to Honeymoon Beach. Hikers can access Honeymoon and Salomon beaches via the Lind Point Trail. Caneel’s other beaches are accessible from water only at this time.


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