Silversea, the luxury and expedition arm of Royal Caribbean Cruises Ltd., is opening a 150‑room hotel called The Cormorant at 55 South in Puerto Williams, Chile, with an October 2026 opening. The property will serve as a dedicated base for Silversea’s Antarctica Fly‑Cruise program, allowing guests to fly into the remote port and then board a ship for the expedition.
Owning the hotel lets Silversea capture 100 % of guest spending on lodging, food, and ancillary services—an important high‑margin revenue stream that complements the company’s cruise operations. The move fits Royal Caribbean Group’s broader strategy of vertical integration, expanding beyond the water to create a comprehensive vacation platform.
Royal Caribbean Group’s recent financials illustrate the scale of the company’s operations: Q4 2023 adjusted EPS was $1.25, full‑year 2023 adjusted EPS was $6.77, and Q1 2024 adjusted EPS rose to $1.77. While Silversea has not released specific projections for the new hotel, the addition is expected to enhance profitability by adding a new, high‑margin asset to the group’s portfolio.
Silversea is the sole operator in Puerto Williams, giving it exclusive access to the flight base that will replace Punta Arenas for the Fly‑Cruise program. This exclusivity creates a competitive moat, as no other expedition operator can use the same remote hub to launch Antarctica itineraries.
Construction of the hotel has required modular rooms built in Argentina and transported to Puerto Williams, a location described as “very unforgiving, difficult place to build.” The logistical challenges and remote setting represent headwinds that the company must manage, but the modular approach mitigates some of the construction risk.
Bert Hernandez, president of Silversea, said, “The Cormorant at 55 South represents an exciting new chapter for Silversea, extending our commitment to luxury travel to Antarctica. This unique property will offer our guests the same hallmark comfort and personalized service they expect while on board our ships and will immerse them in the rich culture, traditions, and natural beauty of the region.”
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