Some of the projects that are currently under way or planned are Great Bay Harbor, Princess Juliana International Airport expansion, Philipsburg Waterfront Development and boardwalk project, Marigot's plans for a large mega yacht facility and Dutch utility companies that are upgrading production facilities of water and electricity. The biggest potential for development in St. Maarten, however, is the establishment of international hotel chains.

Currently, just a few of these chains are on the island. But, plans are to change that. Homeowners and management are now resolving the issue of The Mullet Bay Resort, which closed because of Hurricane Luis in 1995. "We are looking at a 300-room hotel there [at Mullet Bay] as a first phase," said Theo Heyliger, commissioner of tourism for Dutch St. Maarten.

Recent developments on the island have created much of the current potential. "Oyster Bay Resort is finalizing its addition of 85 more units on the eastern side of the island that will be finished this year. Government has invested $3 million in the new road to Oyster Bay. Government itself is making sure that when the private investor does invest, it is complementing with investment in the infrastructure," he said.

These are encouraging comments, as the hotel sector still has room to grow on the island. "There is a lot of potential in the stay-over area specifically. I tend to look at the bottom line. The stay-over tourist gives you the most in the long run," said Robert Judd, country manager for Scotia Bank.

As the development plans continue, the economy of both sides of the island will only continue to benefit as well. The governments have actively worked to create opportunities for themselves.

US Filter Enerserve signed a 10-year water sales purchase contract with the Dutch St. Maarten Government in January. The Daily Herald notes that the $55 million project will boost current installed capacity 42 percent. To meet the needs of the island, President of US Filter Enerserve, Willem Barendsen, details the capacity of the plant expansion.

"We are currently expanding our big water plant. It has 2.4 million gallons per day available now and in two to three months it will have a capacity of 3.6 million gallons per day," he says. The company designed, built and operates 60 to 70 plants throughout the Caribbean.

A huge investment program started in 1985 by the French government has helped make French St. Martin what it is today. The defiscalization plan gave French citizens tax relief when they invested in island development of the French West Indies.

Martinique, Guadeloupe, St. Barthelemy and St. Martin have all benefited from the defiscalization plan. Taxes can be high in mainland France, thus defiscalization was very successful.

"If you earn 100 French francs, 56 of them are paid to the French government in taxes," noted Joel Husson, owner of Octaedre Gemstones. Husson and his wife Marie-Claire have come to St. Martin for four years during the winter season from their southern France home. The Hussons specialize in cutting, polishing and designing the jewelry of a semi-precious stone garnet, which can only be found in St. Martin. They have decided to permanently move to the island this fall because of the duty-free opportunities offered by the island.

The defiscalization program gave incentives for people to build hotels, invest in charter boats, fishing boats, airplanes and anything related to tourism. Far behind the development experienced on the Dutch side of the 1960s and '70s, French St. Martin developed into a prominent destination for tourists. The program was so successful that many argue the French side is as successful, if not more, than its southern neighbors.

"Twenty-years ago there were five tourist stores in Marigot, all on Rue de la Republique. There were two hotels, one with 10 rooms, the other with 30. Now, there are 300 to 400 stores and more than 3,000 rooms on the French side of the island," said Jacques Rosell, the owner of Oro de Sol. It is amazing what government incentive can do for the investment climate.

Geoff Thomerson, owner of GLT Construction, NV, offered some advice for someone interested in investing in St. Maarten. "There are investment opportunities here. It takes someone with business sense in money. One must also adapt his business sense and money to doing business here. Adapt your knowledge and education to this system," he said. Thomerson arrived in St. Maarten as a ship captain on a mega yacht. When he was asked to work construction, he decided to give it a shot. He is now one of the main subcontractors on the Great Bay Harbor project.

"The Netherlands Antilles is a good place for investment. Each island has its own culture, mentality and geography. Each one offers something unique, so when someone is ready to invest, the structure is in place to support him," said Kenneth Lei of the Development Bank of the Netherlands Antilles.

Leo Chance, chairman of the Sint Maarten Port Authority, takes it one step further and said the responsibility to attract investment rests with the St. Martiners. "The island of St. Maarten has attracted thousands and now millions. We must add value to investors," he said.