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City hotel deal stalled again

The Corporation of Hamilton are to invite fresh bids to build a hotel on the Par-La-Ville car park site ? dashing hopes of an early deal with Regent hotel developers, Carlson Group.

Last night Tourism Minister Ewart Brown expressed his disappointment and urged the Corporation to get a move on.

He said: ?It came as a surprise to us in view of the fact we thought there was a developer with a plan of management ? Regent ? with the finances, with all those things together, we were hopeful.

?But last week we heard the Corporation had decided to put it out to tender.?

Last night Hamilton Mayor Lawson Mapp refused to discuss the project.

Dr. Brown said the Corporation had not told Government why the Carlson bid for a $110 million, five-star hotel and office block had been rejected.

He said: ?Time is of the essence for us. We hope they can do what they have to do and come on board with us with some urgency.

?I am hoping it won?t be a long, drawn out process like the days of old.?

Another business hotel in Hamilton would create competition said Dr. Brown. ?Competition is good for the industry.?

Asked if he had told Carlson, he said: ?I am somewhat reluctant to talk to them. It?s weird to have a brand really pressing a destination. They are really anxious to do business in Bermuda, but they are turned down.?

Carlson had planned an office block and 116 hotel rooms, a fine dining restaurant, a spa, meeting rooms, 28 luxury condos and a 75,000 square foot office building.

The Carlson Group, one of the largest private tourism conglomerates in the world, also owns the Radisson cruise ship group, Park Plaza Hotels and the Carlson Wagonlit travel agent business.

Bermudian development company Pembak signed a memorandum of understanding with the Corporation of Hamilton about the Par-La-Ville car park site in February last year but that expired.

Pembak president Richard Halsey also expressed his frustration about the latest blow.

?We are disappointed, we have been working on this for three years. Both sides have been very co-operative, they decided it?s going out to tender.

?I am sure the Corporation has its reasons but we don?t know what they are.

?We don?t mind competing with others but it?s a shame we have been working on this for three years and now we have to bid with other people.?

He said there had been rumours of other interested groups when the Corporation was thinking of combining it with a casino but nothing definite had ever come to light.

Pembak had given the Corporation a presentation in July, said Mr. Halsey, but he didn?t know why it had taken so long to get a decision.

Investors had committed funds to the project six months ago, he said, adding that Government had been supportive throughout the process.

?We are staying in there and our partners are still there. We think the project is very important to us, to Hamilton and the country.

?The only reason we are still involved, and didn?t walk away, is that we have a lot of faith in this project. We are really looking forward to it.?