There is some truth to the rumor but the details are not clear yet. There will be a grill set up next to the dive shop with tables and a canopy cover. They will also serve drinks. It is unknown when they will start operating.
The actual building renovation and pool bar renovation are talked about but as far as I know nothing is happening at the moment.

Hello zhawk,

Was excited to read your question the other day, and swung by Sapphire to check it out. Had been a few weeks ago but hadn't gone by the restaurant/bar. Looked around this time, though I still didn't go out by the pool. The lobby/restaurant/bar building is still boarded up with renovation signs as it has been for a long time. There was a new stand alone bar set up in the open space that was never boarded up, the area you walk through to get to the bathrooms; with another stand alone type closeted area nearby that looked like it might contain refrigerators or something. Both looked in progress (unfinished wood). It wasn't open and no one was around when I went by, which was after 5pm. They have a lot of work to be done on that boarded up lobby/old restaurant building. Sad looking on such a gorgeous beach. It was great to see something happening there, look forward to seeing the finished product. Used to be such a wonderful spot for drinks and dancing back in the day.

Thanks for visiting VInow.com with your St. Thomas travel question.

The bar by the dive shop opened on Monday and the food operation was to start yesterday. The same operators plan to renovate both the Seagrape building/restaurant and the pool bar but getting the proper permits takes time. The good news is the process has started

Sapphire Bar and Grill up in the Village has closed temporarily but will be renovated and reopen under new ownership I think in October.