Bermudiana Beach rental units ‘complete’
The housing minister officially opened the Bermudiana Beach Residences yesterday.
Zane DeSilva, who is also the Deputy Premier, said the project, announced in 2007 to be a hotel and affordable housing, had evolved across a “long and complex journey” navigating local market shifts, public health challenges and evolving development goals.
The minister noted the rental value of units — starting at $3,000 per month for a studio apartment — but pledged to double down on efforts to create more affordable housing in Bermuda.
Mr DeSilva said: “Originally envisioned as the Grand Atlantic, it has now been successfully reimagined into a vibrant residential beachfront community.
“Despite the many hurdles, we are proud to deliver a completed project that enhances the island’s housing stock and raises the standard for modern living.”
Mr DeSilva said that of the 94 apartments at the complex, nine were rented out and another 13 were “under agreement”.
He was joined on site by Lieutenant-Colonel David Burch, the former public works minister who previously led the project, and Lawrence Scott, the MP for Warwick South East.
The development includes 25 studio apartments, 25 one-bedroom units, 28 two-bedroom units and 16 three-bedroom units.
It was originally designed to provide affordable housing, as well as hotel rooms, as the Grand Atlantic. However, through various iterations, the rental value of the units now ranges from $3,000 to $7,000 per month.
Mr DeSilva said the apartments were ideal for young professionals, couples and small families.
He pointed out that they came with beach access, fitness areas, a swimming pool and a space for future amenities such as a restaurant and a wellness centre.
June 2007: Under the Progressive Labour Party, a special development order is granted to Atlantic Development (Bermuda) for the Grand Atlantic Resort and Residences. The plan is for a 100-room hotel and adjacent 125 affordable homes.
April 2009: Ewart Brown, the former premier, announces the signing of the Grand Atlantic public-private partnership for a 100-room hotel and 125 affordable condos.
June 2010: Developer Larry Swenson/Atlantic Development (Bermuda) says the $150 million Grand Atlantic project is fully financed by Butterfield Bank.
July 2010: Dr Brown announces the official ground-breaking of the Grand Atlantic Resort. Then housing minister Lieutenant-Colonel David Burch said the Government would spend $40 million to purchase 78 units and would “immediately” sell them to Bermuda Housing Corporation clients.
March 2013: Michael Weeks, the former public works minister, says the apartments were not sold and blamed the One Bermuda Alliance for scaremongering. The project is put on hold.
April 2014: The OBA confirms it signed a contract to upgrade and reposition the complex with Caribbean-based tourism and leisure firm MacLellan & Associates. The project is stalled to house sailors and staff of the America’s Cup.
February 2017: An agreement is made with MacLellan & Associates to move forward with the conversion of the Grand Atlantic into a condo hotel — a condominium complex operated as a hotel.
March 2018: With the PLP back in power, Colonel Burch formally announces the conversion of the Grand Atlantic into a mid-market boutique hotel to be renamed the Bermudiana Beach Resort run by the Hilton group. The project involves the conversion of 78 two- and three-bedroom condominiums [owned by BHC] into a full-service condo hotel with resort leisure amenities at a cost in the region of $23 million.
September 2021: Bermudiana Development Company Ltd, a subsidiary of the BHC, parts ways with MacLellan & Associates.
March 2022: Elevator and stairs project is announced to provide beach access.
March 2024: David Burt announces a government guarantee. The Premier said there would be a $25 million loan on behalf of the Bermudiana Development Company, a subsidiary of BHC, to complete Bermudiana Beach Resort bringing total costs to about $100 million.
November 2024: Government announces it has pulled out of the boutique hotel deal and has to pay an approximate $400,000 “break fee”. Colonel Burch said the 94 units would be put on the rental market. The decision was made after accountancy firm Ernst & Young carried out a study that found the hotel model was not financially viable.
April 2025: Zane DeSilva, the Minister of Housing and Municipalities, declares Bermudiana Beach Residences officially open with nine of the 94 units rented out and 13 under agreement.
June 2007: Under the Progressive Labour Party, a special development order is granted to Atlantic Development (Bermuda) for the Grand Atlantic Resort and Residences. The plan is for a 100-room hotel and adjacent 125 affordable homes.
April 2009: Ewart Brown, the former premier, announces the signing of the Grand Atlantic public-private partnership for a 100-room hotel and 125 affordable condos.
June 2010: Developer Larry Swenson/Atlantic Development (Bermuda) says the $150 million Grand Atlantic project is fully financed by Butterfield Bank.
July 2010: Dr Brown announces the official ground-breaking of the Grand Atlantic Resort. Then housing minister Lieutenant-Colonel David Burch said the Government would spend $40 million to purchase 78 units and would “immediately” sell them to Bermuda Housing Corporation clients.
March 2013: Michael Weeks, the former public works minister, says the apartments were not sold and blamed the One Bermuda Alliance for scaremongering. The project is put on hold.
April 2014: The OBA confirms it signed a contract to upgrade and reposition the complex with Caribbean-based tourism and leisure firm MacLellan & Associates. The project is stalled to house sailors and staff of the America’s Cup.
February 2017: An agreement is made with MacLellan & Associates to move forward with the conversion of the Grand Atlantic into a condo hotel — a condominium complex operated as a hotel.
March 2018: With the PLP back in power, Colonel Burch formally announces the conversion of the Grand Atlantic into a mid-market boutique hotel to be renamed the Bermudiana Beach Resort run by the Hilton group. The project involves the conversion of 78 two- and three-bedroom condominiums [owned by BHC] into a full-service condo hotel with resort leisure amenities at a cost in the region of $23 million.
September 2021: Bermudiana Development Company Ltd, a subsidiary of the BHC, parts ways with MacLellan & Associates.
March 2022: Elevator and stairs project is announced to provide beach access.
March 2024: David Burt announces a government guarantee. The Premier said there would be a $25 million loan on behalf of the Bermudiana Development Company, a subsidiary of BHC, to complete Bermudiana Beach Resort bringing total costs to about $100 million.
November 2024: Government announces it has pulled out of the boutique hotel deal and has to pay an approximate $400,000 “break fee”. Colonel Burch said the 94 units would be put on the rental market. The decision was made after accountancy firm Ernst & Young carried out a study that found the hotel model was not financially viable.
April 2025: Zane DeSilva, the Minister of Housing and Municipalities, declares Bermudiana Beach Residences officially open with nine of the 94 units rented out and 13 under agreement.
The Deputy Premier said that while the expected rental values reflected “the property’s exceptional quality, amenities and location”, the development was “only part of the solution”.
He added: “The urgent need for truly affordable housing remains and we are committed to addressing it. That is the critical step.
“Today, while we celebrate this success, we also acknowledge the larger challenge — Bermuda needs more affordable housing and it needs it urgently.
“That is why the Ministry of Housing and Municipalities has immediately intensified efforts with our partners, including the Bermuda Housing Corporation, the Bermuda Housing Trust and the private sector, to accelerate the production of accessible and affordable homes for Bermudians.
“In the coming weeks, we will present a medium to long-term housing strategy focused on government priorities — affordable rental developments that target low to middle-income households, rent-geared-to-income programmes for working families, innovative use of land and derelict buildings, public-private partnerships to expand housing opportunities, and new solutions to address the needs of single parents and young Bermudians trying to enter the housing market.”
Mr DeSilva said that the cost of the project totalled about $100 million.
Asked if he believed the units would all be rented, Mr DeSilva added: “I remain very confident. Take a look around and see how beautiful this is, the amenities. It is just magnificent. I am hoping they will be rented out fairly quickly.
“The more folks that we have on island that may be guest workers, if they move to these premises then it frees up outside premises.”
He said BHC had 300 people on its waiting list for affordable housing and said he would be working hard to address it.
He added: “The need is there. My goal is to be a little bit more aggressive than the former minister, who was aggressive. He produced 70 homes in two years. My goal is to produce as many homes as quickly as we can.”
Michael Fahy, the Shadow Minister of Housing and Municipalities, yesterday branded the announcement regarding Bermudiana Beach as “smoke and mirrors” given the cost of the units.
In a statement, Mr Fahy said: “With rental values ranging from $3,000 to $7,000 a month it is hardly going to inspire those in need that this Government is truly capable of helping them.
“The truth is this project was disgracefully managed and is indicative of the way this administration makes poor decisions.
“The project was first designed to be affordable housing many years ago with a hotel also to be built. Under the PLP the hotel element slipped away completely and now we are left with a white elephant.
“I hope Bermudians do benefit but this is hardly affordable housing.”
Michael Fahy, the Shadow Minister of Housing and Municipalities, yesterday branded the announcement regarding Bermudiana Beach as “smoke and mirrors” given the cost of the units.
In a statement, Mr Fahy said: “With rental values ranging from $3,000 to $7,000 a month it is hardly going to inspire those in need that this Government is truly capable of helping them.
“The truth is this project was disgracefully managed and is indicative of the way this administration makes poor decisions.
“The project was first designed to be affordable housing many years ago with a hotel also to be built. Under the PLP the hotel element slipped away completely and now we are left with a white elephant.
“I hope Bermudians do benefit but this is hardly affordable housing.”
Colonel Burch, during his tenure as public works minister, announced last year that the 94-unit resort would be put on the rental market.
The decision meant pulling out of a deal with the Hilton group that was expected to run the site as part of its Tapestry Collection.
It was later revealed that a break fee of $399,600 was incurred as a result of the agreement to separate.
The Government decided to jettison the long-running project after a feasibility study conducted by accountancy firm Ernst & Young, which concluded that the hotel model was no longer financially viable.
The original 2007 plan for the site was the Grand Atlantic Resort and Residences that included a hotel and adjacent affordable housing units.
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