Grenada’s La Source Resort will close on October 15 according to a statement issued Oct. 11 by Elite Island Resorts, which La Source hired in 2010 to provide marketing and representation for the property. La Source officials on Oct. 10 advised travel agents to stop booking the property.

La Source is owned by Liberty Club Ltd., a Grenada company headed by Leon Taylor, the resort’s developer.  Liberty Club Ltd. “[has] fallen on difficult financial times and [is] no longer able to fund the resort's operation,” according to the statement.

"We are deeply saddened and disappointed that the owners of the resort were not able or willing to do more to keep La Source open," said Steven Heydt, president of Elite Island Resorts. "Unfortunately, Elite does not own or manage La Source, and we are at the whim of the resort's ownership, along with tour operators and guests who may be negatively affected." 

Mark Grebby, La Source’s manager, issued a statement that read: “Over the past two days, I have made every effort to obtain additional operating funds and direction from the board of directors of Liberty Club Ltd. Unfortunately, I have received neither,” he said. “I am deeply saddened by this turn of events, and the affect it will have on the resort's current and future guests. But without additional operating funds from the resort's owners, there is no way to continue operating and serving our valued clients.”

Grebby continued, “LaSource cannot accept any further arrivals after today [October 11]. It appears these arrivals and all existing in-house guests will need to check out by 12 noon on October 15. We are currently running short of supplies, and certain services, like evening entertainment and our contracted laundry service, have been cut off.  “We realize this is a very disappointing situation. We hope that this small cushion of time between now and Monday will provide you and your guests with an opportunity to find alternative accommodations and/or make the necessary changes for their return flights,” he said.

Grebby added that the closure “appears to be the result of an accumulation of difficult financial circumstances that have limited the ability of the resort's owners to continue funding the operation.” He said Grenada’s Mount Cinnamon Beach Resort “has offered to host all displaced LaSource guests, currently at the resort or in transit, offering an all-inclusive stay with dining at its two on-property restaurants and spa treatments.”