Thirteen affordable housing units are to be constructed in a vacant and fire-damaged building at the Leopards Club International property in Pembroke.

Lieutenant-Colonel David Burch announced that the Ministry of Public Works would be collaborating with the Bermuda Housing Corporation and the club on the $4.8m renovation job.

It will breathe new life into the former Plaza Hotel, one of the first Black-owned guesthouses in Bermuda. It has been owned by the Leopards Club since 1955 and was gutted by fire on January 27, 2009.

The three-storey, 7,643-square foot structure has been vacant ever since.

Announcing the project, Colonel Burch said: “At that time, the BHC assisted those displaced by the fire, so this return is like coming back home.

“Even though 17 years has passed since the fire, the building remains structurally sound and can be renovated. By repurposing this unused structure, we are not only preserving an important piece of Hamilton’s heritage, but also creating much needed homes for Bermuda.”

Colonel Burch said the structure required significant renovation.

Work will include structural repairs, full electrical and plumbing upgrades, modernisation and aesthetic improvements.

Once completed, the building will feature 13 residential units made up of studios and one-bedroom apartments. Each unit will contain a bathroom, kitchenette, washing machine and bedroom space.

Residents will have access to additional amenities including storage space, a lounge and self-serve café area, an elevator and a parking lot.

The project is expected to take 22 months to complete.

Colonel Burch added: “The Government will recoup its investment through rental income generated through these new homes over the next several years.

“This project was made possible by the recent increase in funding allocated to the BHC.”

In the last Budget, the Government committed an additional $10 million to BHC to accelerate the availability of affordable homes across the island.

The project is part of the Private Sector Refurbishment Programme, where private units are renovated by the corporation then temporarily added to their stock, to be managed through a specific time-frame agreement to repay the funds and ultimately returned to the owner.

Colonel Burch added: “Our goal is simple — to ensure that every Bermudian can access safe, comfortable and affordable housing.

“Today’s announcement is another step to make that vision a reality.”

Calvert Harvey, the vice-president of the Leopards Club, said: “Our commitment to providing affordable housing to the residents of Bermuda aligns perfectly with our commitment of supporting our community. We welcome this project.”