Developers are expected to break ground shortly on a hotel and affordable housing complex on the South Shore.

Planning officials have granted final approval for the subdivision of a 13-acre plot of land into seven lots, at the former Golden Hind site in Warwick.

The Development Applications Board has also given the go-ahead for rights of way for the project, a public-private partnership between Government and landowners Atlantic Development (Bermuda). The Grand Atlantic Resort and Residences will consist of a six-storey, 100-room hotel, 125 affordable housing units and 20 fractional units.

Chris Puchalla, managing director of Atlantic Development, yesterday said an announcement was "forthcoming".

"We are getting towards a finish line of sorts in a lot of areas, and expect to have an announcement very shortly on the Grand Atlantic," he said.

It is a year since the project was unveiled, in what Premier Ewart Brown then described as a "win-win" for Bermuda.

Government said it would buy half of the 13-acre site from Atlantic Development. The capital was then to be used to fund the Grand Atlantic Hotel and Spa.

The money for the land was expected to come from Government's affordable housing budget.

Government did not return this newspaper's request for comment on the progress of the project yesterday.

The 125 two- and three-bedroom affordable housing units are to be modelled on the Loughlands project.

The Paget property is to provide 96 homes for lower-income families registered with the Bermuda Housing Corporation.

The Grand Atlantic units are to be built in four phases, while the hotel is constructed on the neighbouring site.

The condominiums to be set out in 15 three-storey buildings will be managed by the Bermuda Housing Corporation. It is expected they will be priced between $500,000 and $625,000 for sale to first-time buyers.

The buildings will be setback up to 50 feet from the coastline. Dr. Brown has said developers will provide a thorough environmental assessment prior to breaking ground.

The completion date for the Grand Atlantic Resort and Residences is expected to be 2013.