MSC Cruises Plans $450M Freeport Terminal and Beach Club

MSC Cruises is planning a $450 million cruise development in Freeport Harbor on Grand Bahama Island, a project outlined by Bahamas Prime Minister Philip Davis during a Jan. 27, 2026 media briefing.

Davis said the proposal centers on building a new cruise terminal and related facilities on Billy Cay, a man-made island in Freeport Harbor, while also funding a beach club and upgrades to existing visitor areas that serve cruise passengers.

Agreement signed as Bahamas outlines Billy Cay terminal plan

Davis said the Bahamas and MSC Cruises have signed an agreement connected to the Freeport Harbor project. As of his update, MSC Cruises had not publicly commented on the proposed cruise terminal development.

The investment allocation described by Davis assigns about $400 million to the Billy Cay cruise terminal project and about $50 million to a new beach club and improvements to parts of the existing harbor visitor area, including the retail village.

What the Billy Cay cruise complex is expected to include

Davis described the Billy Cay development as a large-scale expansion intended to support more cruise calls and create additional onshore capacity for guest arrivals, amenities, and spending.

Planned elements described for the Billy Cay cruise complex include:

• New pier and berthing infrastructure for cruise ships, designed to support port calls in Freeport Harbor.
• A welcome and visitor-arrival area to handle passenger processing and flow onshore.
• Commercial zones with retail and food-and-beverage options to expand the onshore offering.
• Entertainment areas intended for cruise visitors as part of a broader destination-style experience.
• Transportation staging and supporting facilities aimed at managing passenger movement for excursions and independent touring.

Davis also said the terminal is intended to be a multi-user facility, allowing ships from more than one operator to call in Freeport and giving the destination added flexibility in managing schedules.

Beach club and retail village upgrades planned for existing harbor areas

In addition to the new terminal, Davis said part of the investment is earmarked for improvements around Freeport Harbor’s existing visitor-facing areas. The plans include a beach club and renovations to the retail village area, including new food and beverage outlets and entertainment spaces.

Davis said the upgrades are also intended to add shore-side logistics support, including a transportation logistics component to streamline excursions and help move guests between the port area and other parts of the island.

Government’s economic rationale for the project

Davis framed the development as a way to increase cruise calls and passenger volumes while spreading economic activity into sectors that support cruise tourism, including transportation providers, hospitality businesses, cultural operators, and small businesses.

“This is a serious expansion with real scale,” Davis said.

How Freeport fits within MSC’s broader Bahamas footprint

Davis linked the cruise-terminal proposal to MSC’s wider presence on Grand Bahama, noting that MSC, the parent company of MSC Cruises and the world’s largest container shipping operator, has already invested in upgrades at the Freeport Container Port.

The Freeport announcement also comes alongside MSC Cruises’ continued buildout of its Bahamas destinations. On Jan. 28, 2026, the cruise line separately announced it will finance additional enhancements at MSC Ocean Cay Marine Reserve, its private island destination in the Bimini district.

MSC Cruises has said the Ocean Cay project is expected to be completed by late 2027 and will include new dining venues, an extended pier, and designated guest areas, including a family beach zone and an adults-only retreat.

Competitive backdrop as cruise lines expand Bahamas destinations

The Bahamas has become a focal point for cruise-line investment, with multiple brands developing private destinations and upgraded port infrastructure. Carnival Cruise Line recently opened Celebration Key, a $600 million private destination on Grand Bahama Island, while Royal Caribbean continues to operate Perfect Day at CocoCay on a private island in the Bahamas.

Norwegian Cruise Line and Disney Cruise Line also feature private destinations in the region. Separately, Royal Caribbean previously pursued a private-destination concept on Grand Bahama, but the initiative did not proceed.

What’s known about timelines and upcoming calls

Davis’s update provided cost allocations and an outline of facilities, but it did not include a public construction schedule for the Billy Cay terminal or the Freeport Harbor renovations. MSC Cruises also had not issued its own public project timeline for the Freeport development.

MSC Cruises is already marketing Bahamas itineraries that include Grand Bahama Island and Ocean Cay. The line is slated to deploy MSC Meraviglia, a 4,488-guest vessel, on sailings that include stops on Grand Bahama Island and Ocean Cay starting in November 2026. The itineraries are scheduled to depart from Miami and range from four to ten nights.

Frequently Asked Questions (FAQs)

Where is Billy Cay?

Billy Cay is a man-made island within Freeport Harbor on Grand Bahama Island that has been identified as the site of the proposed new cruise terminal development.

How is the $450 million investment divided?

Prime Minister Philip Davis said about $400 million is allocated to the Billy Cay cruise terminal project, with roughly $50 million directed to a beach club and upgrades to the harbor’s existing visitor areas, including the retail village.

Will the new Freeport cruise facility be exclusive to MSC Cruises?

No. Davis said the Billy Cay terminal is intended to be a multi-user facility designed to accommodate more than one cruise operator.

Has MSC Cruises confirmed the Freeport Harbor project?

Davis said an agreement connected to the project has been signed, but MSC Cruises had not publicly commented on the cruise terminal plans at the time of his Jan. 27, 2026 update.

What upgrades are planned for MSC Ocean Cay Marine Reserve, and when are they expected to be finished?

MSC Cruises has said it will finance additional enhancements to Ocean Cay Marine Reserve, including new dining venues, an extended pier, and distinct areas such as a family beach zone and an adults-only retreat. The company said the work is expected to be completed by late 2027.