Hopes are high that a $6 million East Broadway office development will be complete by next summer.

Historic Lane House, the old Waterfront restaurant, and a cottage have been earmarked for the project.

Developer Mr. Tony Smith said one tenant had already been found for the Waterfront block -- a major mutual fund company.

And it was hoped a tenant for Lane House would be signed before the end of this year.

"I would hope to have everything completed by next summer,'' said Mr. Smith, chairman of AFSmith Trading Company and president of Villa Development Company.

Originally, Mr. Smith, father of Environment Minister the Hon. Tim Smith, had planned to build a 58-room waterfront hotel at the site.

But the proposal was shelved after protests from environmental groups, including the National Trust, and failure to strike a deal with the trustees of a neighbouring building.

The office project was waved ahead on appeal by then Environment Minister the Hon. Gerald Simons.

Mr. Smith said he had approval in principle for the Lane House and East Cottage developments.

And final approval had been given for the Waterfront building.

"We had no objection from the public -- we were staying within envelope there -- and the development was nowhere near the size of small hotel we originally planned.'' The total square footage for the office buildings would be about 20,000, he explained.

Added Mr. Smith: "Although there are actually three buildings, once the project is complete, they will look like one building.

"All of them will be painted white and have dark green shutters.'' Mr. Smith's plans include the restoration of Lane House, a residential building dating from the 1700s.

"We will put new windows in Lane House, put in air conditioning and plumbing.' He added: "We will put in a small parking area to west of the property, put in walkways and flowerbeds on the waterside.

"The whole project will cost lots of money. It comes to $6 million, including the land and buildings.'' Architects for the project are Barker & Linberg.