The waterways minister, Jonathan Shaw, has officially opened the redeveloped canal basin in Loughborough.
A total of £13m has been spent building a public plaza, student accommodation, bars and restaurants. The work began in spring 2006.
The buildings have divided local opinion - some people think the colours are too garish and the style is not in tune with the surrounding architecture.
But the minister said he believed people would get used to it.
He said: "Waterways are becoming more and more popular, there's more people on boats, but also it's lovely to sit round and enjoy the atmosphere that water provides within an urban area."
British Waterways' East Midlands general manager Caroline Killeavy said access to the waterside in Loughborough had been largely closed off for many years.
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