Bermudiana Beach’s new incarnation as a residential rental development could get the 94-unit south shore complex in Warwick occupied after a 12-year struggle — although realtors disagreed on the property’s potential to deliver relief for the island’s housing shortage.

Coldwell Banker Bermuda Realty told The Royal Gazette that the Bermudiana was understood to be “experiencing strong activity with showings”, while a Swan Group realtor said its appeal would be strictly limited to high-end tenants.

A would-be renter from overseas, who asked not to be identified, described the announcement this week on the Bermudiana’s new business model as the answer to her family’s hopes, after a long and frustrating struggle to find suitable accommodation.

She said she and her partner had already inquired about one of the development’s three-bedroom units, and were now “just waiting to hear back”.

Zane DeSilva, the housing minister, said the apartments in a complex originally meant for affordable housing could cater now to guest workers, young professionals, couples and small families.

He said rents at the mixture of studio flats with one, two and three-bedroom units would range from $3,000 to $7,000 a month.

Mr DeSilva added that nine apartments were rented out, with a further 13 “under agreement” at the property, where the transition was complete from a boutique hotel model abandoned last year to “a vibrant residential beachfront community”.

Coldwell called the Bermudiana “a specialised product that will appeal to tenants seeking a new, modern, turnkey unit with amenities and proximity to the beach”.

“The property is beautiful and will no doubt attract tenants.”

The firm continued yesterday: “Any new development will undoubtedly help alleviate the housing shortage we’ve been experiencing over the past few years.

“With 94 units, this project has the potential to free up additional housing for Bermudians, who are often in direct competition with guest workers for suitable accommodation.”

Coldwell said Bermudiana’s offerings were “a significant number” that was “primarily suited for young professionals, couples and possibly small families, but not ideal for larger families or those with pets”.

“Pets are not permitted. Additionally, not everyone is interested in cluster housing; many prefer stand-alone homes or properties with just one or two additional units.

“We’ve had numerous companies urgently searching for accommodation for incoming workers — needs we’ve often been unable to meet.

“If all units are rented, as we hope they will be, the development will have a modest positive impact on the market. However, it is unlikely to saturate the market or cause a significant drop in housing prices.”

Suzie Arruda, a vice-president at The Swan Group, said that the 94 units were “far too few to meaningfully address the island’s chronic shortage”.

Mr DeSilva was optimistic that interest in the development would free up housing for Bermudians, but Ms Arruda said: “The Bermuda Housing Corporation’s 300-family wait list, consisting of working-class locals struggling to find affordable homes, won’t see relief from a project catering to high-income expatriates and professionals.

She added: “This price range could also have a knock-on effect on the market and other housing units in the area with landlords increasing rental prices.

“Many expatriates have housing allowances, paid for by their companies, guaranteeing rental payments. Local working-class families do not have access to this, therefore making their chances of getting a unit even more difficult

“This development appears more likely to cater to high-income expatriates than create meaningful trickle-down benefits for Bermudian families struggling with housing affordability.”

The mother of two in a guest-worker family who spoke yesterday with the Gazette acknowledged that they fit the profile likely to take up the Bermudiana offer.

However, she said they were among workers from overseas who did not have recourse to a housing allowance from their employers.

She added: “We’re an expatriate family — we’ve been on the island for four years. We came during the height of Covid and didn’t realise the crunch on the housing market.

“We were lucky; it took us quite a while to find a place, but now that lease is coming up. It’s been so frustrating trying to find somewhere.

“We’re conscious that if we as expatriates are having such trouble, what about the single Bermudian mother with three kids?”

She said that she and her partner had been warned by realtors of “a really tough housing market”, with landlords often quoting 10 per cent more than what the family had budgeted for.

The couple were especially struck by the Bermudiana’s three-bedroom units.

“The price is so low compared with what I would pay for a three-bed as a couple with two kids,” she said. “Something in Devonshire or Paget, you could be looking at $10,000.

“The hardest ones to find are the three-bedroom ones. That’s what real estate companies have told me.”

She added: “Hopefully, it will free up housing.”

While she felt “apologetic talking about the price”, she said the asking rents on the largest Bermudiana units would likely find takers in the guest-worker community.

“I think that to any expatriate, that’s an amazing price,” she said.