Government and developers have finalised a 262-year ground lease for the St George’s hotel project, it was announced today.

Michael Dunkley, the Premier, flanked by East End MPs and representatives from the Desarrollos Group, said that the agreement was a significant milestone in bringing a new hotel to St George’s.

“It is very clear that this project will generate jobs both in construction and when the resort is operational in a few years times,” he said. “The development plans for this site include a 120-room St Regis hotel, a spa, a renovated St George’s golf course, residential condominiums and, if permission is granted, a casino.”

Mr Dunkley made note of the hotel developer and operator’s previous projects which include a Ritz Carlton resort in Aruba.

“Desarrollos’s commitment to build a world-class resort that harmonises with the Unesco World Heritage site of St George’s is a testimony of the company’s belief in a strong future for Bermuda in both hotel operations and the island’s residential real estate,” he continued.

Craig Cannonier, the Minister of Public Works, said he was excited to see the project move forward, while St George’s MPs Nandi Outerbridge and Kenneth Bascome both said they were thrilled to be one step closer to a new hotel.

Mr Bascome said: “As I said from jump, this is the real thing and you will see a hotel built on this site.”

Representatives from the developer said the concept for the resort had been agreed, and architects and engineers were working on a detailed plan.

Groundbreaking on the project is expected to take place this year.