1993, its commanding officer revealed yesterday.

Maj. Samuel Gillespie said almost all military personnel would be withdrawn in the succeeding months with only a "rear guard'' remaining by August.

He said the Base is set to close permanently on December 31, 1993.

The closure notice has sent a shudder through the West End Development Coporation which will have to return most of the $11.6 million the Canadian Government paid in advance to house its personnel at Boaz Island.

The withdrawal pulls the rug out from under Wedco's plans to develop west end housing. The prepaid rental agreement with the Canadian government was to last 32 years.

Canadian personnel were to occupy 54 units, or about 30 percent of the Boaz Island housing development, including apartment buildings planned for the site.

Wedco general manager Mr. George Smith yesterday referred all inquiries on the matter to Government's Works Ministry, saying: "My mouth is closed.'' Last night, Acting Works Minister the Hon. Michael Winfield said the withdrawal of the Canadian Forces as West End tenants could see Boaz Island construction plans scaled back or deferred.

"What this may do is affect the total number of units that will be built there,'' he said, "There will now be many more units on the market than developers anticipated.'' Since the shock announcement last February that Canada intended to pull out of Bermuda, Government has set up a special committee headed by the Hon. Charles Collis, former Government Senate Leader.

Its assignment is to oversee the transfer of Daniel's Head back to Bermuda as well as the US Naval Annex lands in Southampton. The annex is also set to close by the end of 1993.

The committee has set up a team of civil servants who are now compiling an assessment of buildings and materiel on the sites, as well as area housing -- "all the relevant facts'', Sen Winfield said.

Its information will be critical to a final decision on the best use of the land for Bermuda. Sen. Winfield said that decision will form the basis of negotiations with the Canadians, which should begin this fall.

Maj. Gillespie, who cautioned that he was waiting for final official notice on the closure, said Canadian Forces plan was to begin closing the Daniel's Head base immediately after May 1, 1993. He said all Canadian Forces families would be returning to Canada.

Talks have yet to begin on the transfer of the US Naval Annex back to Bermuda.

The closure of the 29-year-old Canadian base will have a damaging effect on the economy.

According to a 1987 study, up to 70 local jobs could be affected by the closure while more than $7 million worth of jobs could be taken out of the economy.

As of February, some 200 Canadian officials lived off the base.