Paulson & Co. has bought a majority interest in an exclusive beach resort on Puerto Rico—the Caribbean island firm founder John Paulson was rumored to be moving to earlier this year.
The New York-based firm's Recovery Fund took a majority interest in the St. Regis Bahia Beach Resort and Bahia Beach Resort & Golf Club. The two are located in Bahia Beach, an exclusive enclave in Río Grande, about 25 miles east of San Juan.
Paulson is taking control of the two properties with a majority stake in BBP Partners, the joint-venture that established Bahia Beach in 2007, through a comprehensive recapitalization.
"The St. Regis Bahia Beach resort is already one of the premier leisure travel destinations in the Caribbean, and there is increasing demand from both those looking to purchase holiday homes in Puerto Rico and from those living in or moving to the island," John Paulson said. BBP founders Interlink Group and Munoz Holdings will retain minority interests in the company.
Paulson himself has been known to vacation on Puerto Rico. Earlier this year, he was reportedly mulling a move to the U.S. territory to take advantage of a law that would save him millions on taxes.