Developers of the largest privately owned site in the Hamilton believe their plans to build a new hotel have been given a boost by the government decision to expand the Economic Empowerment Zone from the initial North East quadrant.

It comes several years after they first obtained a Special Development Order for the site on the corner of Reid Street and Court Street.

Thomas Powell, of Stonehaven Development Company, said: “We are still proceeding with care. It makes no sense to go off half-cocked and then not be able to finish the development. It is such a large site. But there are a lot of positive things going for it, right now.

“There is far more flexibility with what Planning has in mind, instead of things being so firm and fixed as it was in the past.

“We have already met with Planning, just once, so far.”

This has lead to investor interest. Early on, there were a number of issues, including the state of the economy and financing. But Mr Powell said that times have changed.

“The idea is for a businessman’s hotel of the highest quality together with some traditional commercial activity and some residential.

“But we are talking to several investors right now and it really depends on what they would like to see, and what they would like to put their money into.”

The half-acre site was left vacant after the demolishing of the final buildings in 2019, including the old Canadian Hotel and the former Booth Hall, home of the Hamilton Salvation Army church.

A 2012 fire on the site marked the end to two iconic buildings. The Canadian Hotel was a century-old building, completed in 1918 by Jamaican-born James “Dick” Richards, the first time a Black man owned a hotel licence.

The idea for the Stonehaven Development Condominium Hotel was an 81-unit apartment hotel which would house 42 hotel condominiums, 39 residences, plus a restaurant and spa.

The property falls just inside the new area eligible for government assistance under the expanded EEZ programme.

The Bermuda Economic Development Corporation has developed various incentives and policy tools aimed at assisting businesses to grow and become more sustainable.

These consist of EEZ payroll tax concession, EEZ custom duty deferment, and preferential rates and terms on BEDC financial products.

The just released Economic Development Strategy elaborated on statements first made by government in the February Budget Debate that the EEZ would be expanded to other parts of Hamilton because there was little uptake for North East Hamilton for a scheme designed to provide more city housing.

The North East Hamilton EEZ boundaries are Victoria Street to the south, North Street to the north, King Street to the east and Cedar Avenue to the west.

This area constitutes the northeast quadrant of Hamilton and is 59.5 acres made up of approximately 25 square blocks consisting of over 300 households and over 200 businesses.

The EDS stated that in South East Hamilton “there are opportunities for developers to enhance the area with commercial and residential initiatives”.

The report said: “The proposed area for consideration of EEZ in South East Hamilton comprises approximately six city blocks plus the cargo docks. The SEH zone is almost entirely within the limits of the City of Hamilton.

“The proposed area is bounded on the west by Court Street, the north by Victoria Street, and the south by the Hamilton harbour shoreline. The eastern boundary runs approximately along the eastern City boundary, to include some adjacent properties to the east. The total area of the proposed SEH zone is approximately 41 acres, with 33 acres of developable land.”