The need to develop a new revenue stream was the impetus behind making the City of Hamilton waterfront project a priority, City Hall said today.City of Hamilton Mayor Greame Outerbridge and councilman Keith Davis issued a press release this morning in a bid to “clear up any misinformation that is in the public domain”.The City also announced its “action timeline” of the waterfront project as part of the public relations initiative.It defended the controversial 262-year lease of the waterfront as par for the course and necessary to attract institutional investors.“In April 2011, the Corporation of Hamilton was no longer able to collect wharfage from the docks and because cash flow was becoming an issue, it needed to develop a new revenue stream. When we took office in May 2012, it was at this time that the City Council made the City waterfront project a priority,” the release states.It goes on to say that the request for proposal seeking a development partner for the City waterfront was issued in September 2012 with an October 19 deadline for responses.Three companies were shortlisted with Allied Development Partners selected because it had submitted the “most comprehensive proposal that included a full development team of companies and professional services, including a concept rendering and budget estimate”.“On October 31, 2012, the Corporation signed an exclusive developer agreement with Allied Development Partners Limited. They were given five months to:? • Add an urban design professional and landscape architect to the development team? • Identify project funding and produce a letter of credit? • Produce a project schedule and project execution timeline? • Prepare a specific proposal for improvements to North Hamilton? • Articulate a clear process for public participation and community stakeholders? • Give a commitment to work with the Corporation and the community to prepare a development plan? • Prepare a comprehensive business plan with schedule, financing detail, project pro forma, environmental permitting and approvals including construction phasing.”The release goes on to explain that ADP had been given until March 31, 2013 to meet the conditions or face disqualification as the development partner.“Following this agreement, the Corporation formed a Development Committee of members of the Corporation and the developer to progress the City waterfront development.”The controversial 262 year lease of 26 acres of City waterfront between Barr’s Bay and the Department of Marine and Ports on Front Street was signed on December 13, 2012, the release continues.“The long lease is in keeping with the leases given to 9 Beaches and Club Med and was necessary in order to attract institutional investors and secure the capital necessary to build a $1.7 billion infrastructure.“In return, the Corporation will receive a share of the revenue derived from the developments and is guaranteed at least as much income as they are currently receiving from the properties until such time as the project begins to generate revenue.“Part of the proposal from Allied Development Partners, which has been included in the lease, includes an upgrade of North East Hamilton with pedestrian areas, open markets and entertainment.”The Corporation has been working to develop the project since its January 28 announcement of the developers, it continues.“The development of the City waterfront is of the utmost importance for the future revitalisation of Hamilton and a revenue stream for the Corporation of Hamilton. After nearly 50 years of discussion, I am delighted that this project is moving forward with a development partner,” Mr Outerbridge said.“It is the most significant development project that Bermuda has ever undertaken. We will continue to consult with the public — as previous administrations have done — to ensure that this project is one that every Bermudian and every resident can be proud of.”But the Mayor stressed that ADP has only provided “concepts” and not final plans for the redevelopment.“Plans will be drawn up once we have had the opportunity to meet with all stakeholders over the coming months.”The Corporation will continue “to work with Government to provide the necessary documents for its due diligence review and the developers are currently working on the first drawdown of funds”.