HAMILTON, Bermuda - Bermuda's government has given the green light for the Fairmont Southampton Hotel to build up to 250 tourism and residential units that “stands to be the largest construction project in Bermuda’s history”.
Fairmont Southampton Hotel (File Photo)But the main opposition One Bermuda Alliance (OBA) has warned that Bermudians will be left “holding the bag for yet another poorly conceived, poorly executed pipe dream.”
Interim OBA leader, Jarion Richardson and OBA shadow tourism minister, Craig Cannonier, in separate statements accused the David Burt government of putting its own interests and the interests of “big business” before the welfare of residents.
“Its own interests supersede that of Bermuda and Bermudians. This government’s weak negotiations and negotiators have enabled a poorly funded investment to consume the island’s island’s flagship property, impoverish the hotel employees and overdevelop our environment,” said Richardson.
Home Affairs Walter Roban announcing the government’s decision, said it was taken after “much consideration.
“This is an anchor hotel,” Roban told a news conference that was also attended by Premier Burt, adding “everything rides on its success.”
He said reopening the hotel is the first priority for a project that will lead to “20-something years of long-term development” even as the developers, Westend Properties, could not indicate when the hotel would re-open despite the project being fully financed.
In a statement, Westend Properties, said that it “understands that this was a difficult decision for the Government” and that it was “very much looking forward to moving ahead on the Southampton project”.
“We respect that the SDO (special development order) process in Bermuda is complex, but necessary; we appreciated the feedback we received from all parties, including the public, and made amendments to our original application in response to that feedback.”
“We are committed to fulfilling the conditions associated with the granting of the SDO, including ensuring that the reopening of the hotel is our foremost priority,” the company added.
Roban said the government’s decision, which overrode recommendation from the planning department and the Development Applications Board, was in “the national interest and the best interests of the majority of Bermuda residents”.
He told reporters that he “clearly did not agree with their conclusions” on turning down the SDO, adding: “I came to a different conclusion that I felt would ensure the long-term success of the country”.
Roban cited an estimate by PricewaterhouseCoopers that the redevelopment at the island’s biggest resort, closed since 2020, would deliver economic impact of US$1.4 billion, with roughly US$300 million attributable to job creation and $1.1 billion to “the broader impact of the demand for local services”.
Roban acknowledged opposition to the development from conservation groups and residents, but said “I want to assure the public that I am mindful of these concerns, by including conditions in the SDO that will provide the proper checks and balances to ensure that most concerns are addressed”.
But Richardson said in his statement that the government keeps “giving away more and more. Now we will have a concrete Southampton skyline, an infrastructure disaster waiting to happen and US$75 million in tax concessions.
“To date, Bermuda has entirely surrendered, because this government’s economic policies made us weak and desperate. Never mind the fox getting into the chicken coop — now we’re letting the fox design it as well.
“By removing the requirement for a special development order to go before Parliament before approval, this government has deliberately reduced transparency and governance,” Richardson said.
For his part, Cannonier said the ruling Progressive Labour Party government has demonstrated that it will do exactly what it wants.
“This decision is utterly ridiculous and a slap in the face to the people of Bermuda, especially the residents in the area who have loudly and vigorously expressed their objection to this project proposal.
“Why did it take this long for a minister to respond when all and sundry knew the outcome of the decision?
“This is not a government that listens but one that ignores the cry of professionals, experts and the community. It’s clear that big business under this government rules,” he added.
Executive director of the Bermuda National Trust, Karen Border, was also critical of the agreement, saying the government had failed to prove that the project was in the national interest.
“The approval of the special development order for the Fairmont Southampton development is a sad day for Bermuda. If we are to give up our precious open space for such a development, it is crucial that the minister can demonstrate unequivocally that it is in the national interest. The Bermuda National Trust believes that he has failed to do so, and we are not alone,” she said.
