The Corporation of Hamilton is inviting new developers to build a top city-centre hotel after losing patience with a company which has failed to deliver the project.

Corporation Secretary Roger Sherratt said the Corporation had "severed ties'' with Bermuda-based developers T.G. International Investments Ltd., which had an exclusivity agreement for the Par-la-Ville car park.

Adverts will appear in newspapers today inviting developers to come forward with plans for the site.

Mr. Sherratt said other businessmen have expressed interest in developing the site, but he would not reveal their identity.

He stressed the proposals must include a first-class hotel, a residential component -- probably up-market condominiums -- and underground car parking.

An office block has been ruled out.

T.G. International was given an exclusivity agreement in 1998 to build a $100 million 140 executive suite hotel, with 19 apartments and underground car parking. But the agreement ran out last year.

Mr. Sherratt told The Royal Gazette yesterday: "We have severed our ties with T.G. International and we are asking other new developers to come forward.

"They have had three years to put together a project and have not been able to and we've had some indications that there are other people who might be interested in doing a similar project.

"The Corporation feels that we would like to give anyone else out there interested an opportunity to make some proposals to us.

"We removed the exclusivity agreement from them last year. They did a first-class design, and if they had been successful we would have agreed it.'' T.G. International President and Chief Executive Glynn Shouldice said he was surprised to hear the Corporation say it had "severed ties'' with his company.

He said company representatives had met the Corporation on Wednesday to seek more time to tie up the due diligence side of the project.

His company planned to use the Union Swiss Bank, and the Four Seasons hotel group was interested, Mr. Shouldice said last month.

He said last night: "To suggest they've severed ties with us is not correct.

"They are just looking at other potential developers and are not precluding us from proceeding in any way, shape or form.

"They want what we want to do, and there is another group which wants to work with us, which is Bermuda-based.

"Our individuals, who are developers and financiers, talked to the Corporation yesterday and said they would like to have some time to tie up the due diligence end of things.'' When asked if he was confident his consortium would eventually build the hotel complex, he said: "You can never say that.

"We think we have the right application for what the Corporation is looking for.

"There is another group that is after the Corporation to make a decision and is looking at putting in an office application as mixed use.'' TOURISM TOU