Forget cruise ships — Carnival is spending big on private island resorts

12.12.2024 - 18:37 / insider.com

Carnival Corp is best known for its vacations at sea. Now it's pouring millions into developing its on-land portfolio.

The cruise giant announced plans on Tuesday to expand its 27-year-old private island, Half Moon Cay (now renamed RelaxAway, Half Moon Cay), by the summer of 2026. It'll be a busy year for the company, which also expects to debut a new exclusive resort, Celebration Key, in the prior year.

The impending launches are part of a growing trend of land-based destinations to attract more travelers by cruise lines. It may sound ironic at first glance, but the real estate investments have been no laughing matter — the $600 million Celebration Key project is set to be Carnival Corp's largest.

Plans for the mile-long slice on Grand Bahama Island include more than 30 food and drink venues, an adult-only beach club, and a kid-friendly lagoon. So far, 20 of Carnival Cruise Line's 27 ships are scheduled to sail to the exclusive resort-like port.

Celebration Key is being billed as a beacon of exciting entertainment — seemingly antithetical to the peaceful white sand beaches of RelaxAway, Half Moon Cay.

Don't expect a new waterpark when the Caribbean island unveils its expansion in 2026. Instead, the mile-long beach would be updated with additional food and beverage venues, a new tram, expanded lounges, cabanas, and a second pier to accommodate Carnival's largest Excel class ships. (It plans to debut three larger ships starting in 2029.)

Travelers are already booking Carnival cruises to Celebration Key, half a year from its debut. With success seemingly impending, Dave Bernstein, Carnival Corp's CFO, told investors in October that the company expects the project to be a "smash hit and provide an excellent return on our investment."

In 2026, itineraries that include both RelaxAway and Celebration Key start at about $350 per person for a four-day cruise from Port Canaveral, Florida.