Planning applications have been submitted for the redevelopment of the Grand Atlantic housing complex into a luxury condo hotel.

And today The Royal Gazette unveils exclusive images of what the new development might look like — including a cable car running down a cliff face from the site to the beach.

The Bermuda Housing Corporation (BHC) said that local architecture firm OBMI and Caribbean based tourism and leisure firm MacLellan & Associates have proposed two phases of development that will transform the South Shore, Warwick, residential complex into a condominium hotel, the Bermudiana Beach Resort.

MacLellan & Associates president Robert MacLellan said: “We are excited about the possibilities and look forward to the next steps on the project as we are now finalising feasibility study and await planning approvals.”

A BHC spokesman added: “This product will offer a new style of hotel inventory for Bermuda, well suited to family vacations and group accommodations such as those required to support international sporting events such as the proposed America’s Cup.”

The planning application is presented in two parts, designed to facilitate the redevelopment and revamping of the existing structures, and include plans for a cable car running down to the beach.

Phase one of the planning application proposes extensive re-landscaping, the addition of eight elevators, and the repurposing of eight units to create hotel facilities.

These will include a reception, bar and restaurant, kitchen, spa and health facilities, a back of house support facility and a new resort pool.

Phase two proposes cliff stabilisation and further site improvements.

These include new access stairs and ramps, in addition to the funicular.

A second resort pool and further landscaping works including a new coastal pathway have also been proposed.

The Grand Atlantic complex was conceived by the former Government as an affordable housing project.

It was branded a failure when only two of the 78 units were sold.

In April Government confirmed that it had signed a contract to “upgrade and reposition” the Warwick complex with MacLellan & Associates.

BHC General Manager Barrett Dill said: “Representatives from MacLellan & Associates have met with local banks; lawyers; insurance companies; engineers and service providers. Potential hotel management companies have also toured the property.”

Robert MacLellan, President of MacLellan & Associates added: “We are excited about the possibilities and look forward to the next steps on the project as we are now finalising feasibility study and await planning approvals.”

A BHC spokesman said: “This product will offer a new style of hotel inventory for Bermuda, well suited to family vacations and group accommodations such as those required to support international sporting events such as the proposed ‘America’s Cup’.”

Mr MacLellan said in May the proposed development was in line with others that had proved popular overseas.

He added: “The team is confident that repurposing the site can result in a new tourism-related offering which will entice vacationers with an array of amenities; a spectacular ocean side location; and numerous existing local business establishments who will benefit from an increase in demand for their goods and services and will work hard to make it a reality.”

Public Works Minister Patricia Gordon-Pamplin said at the time: “This will be a welcome addition to Bermuda’s current hotel inventory and a completely unique product for our market.”

And Ms Gordon-Pamplin also confirmed that the consultant had been advised of environmental concerns surrounding the site, which is located close to a cliff face that is said by some to be rapidly eroding.