Puerto Rico Just Approved a $2 Billion Resort With Three of the World's Most Exclusive Brands

Puerto Rico has cleared the way for one of the Caribbean's largest luxury real estate projects. State regulators approved Esencia, a $2 billion-plus resort and residential development on the island's southwest coast, letting developers Reuben Brothers and Three Rules Capital move ahead after years of environmental review and community consultation.

The draw is the hotel lineup. The more than 2,000-acre project at Boqueron Bay in Cabo Rojo will be anchored by three of the world's most exclusive names: Aman, Mandarin Oriental, and Rosewood. The Mandarin Oriental alone is planned with 106 rooms and suites plus 83 residential villas spread across beach, hillside, and cliffside settings, with a debut targeted for 2028.

Backers frame Esencia as a major economic engine for Puerto Rico, projecting more than 17,000 direct and indirect jobs and over $7 billion in long-term economic activity. For an island working to grow its high-end tourism base, landing Aman, Mandarin Oriental, and Rosewood in a single development would be a notable statement.

The approval has not been universally welcomed. Environmental groups and some Cabo Rojo residents have opposed the project over its scale, its coastal footprint, and plans that have included a private airport, arguing it threatens sensitive habitat on the southwest coast. Supporters counter that the multi-year review and required approvals were built to address those concerns.

With the regulatory hurdle cleared, attention turns to construction timelines and whether the first phase can hit its 2028 opening window, a date that, as with any project this size, could still move.