Plans to transform one of the gateways into Swansea city centre has been given the go ahead.
The site of the new development on lower Wind Street
Funding has been secured to get the development, known as Salubrious Place, off the drawing board.
An 116-bed hotel, cafes, bars and a multi-storey car park will be built on derelict land at the lower end of Wind Street.
The aim is to create a cafe quarter linking the main shopping centre with the docks and marina area by September 2004.
More than £10m has been secured for the first phase of work, and companies have committed to the major elements of the development.
Council leaders and the Welsh Development Agency, who are joint venture partners in the initiative, said the announcement represented new confidence in Swansea.
Council cabinet member for development, Byron Owen, described the project as an excellent scheme for Swansea.
"It will build on the successful refurbishment of several prominent buildings in the Wind Street area by the private sector, and successful street enhancement works by the joint venture," he said.
WDA executive director Mike King said the announcement follows on-going negotiations between the council, WDA and the developer.
This scheme will now provide a vitally important strategic link between the city centre and the maritime quarter
Richard Smith, City centre partnership
"It is yet another major project secured for Swansea - the city is enjoying an unprecedented level of investment in capital projects and confidence is at an all time high.
"Swansea is now emerging as a major player, attracting significant private and public sector investment that makes it an extremely attractive proposition."
"This latest news is important for the future development and expansion of the city centre as it occupies such a strategic site," he added.
Richard Smith, chairman of the City Centre Partnership described the renaissance of Wind Street as a huge success
"This scheme will now provide a vitally important strategic link between the city centre and the maritime quarter".
The hotel will be run by Scottish and Newcastle plc, while one of the bars will be opened by a firm caled Bakersfield as part of its Mood chain.
Additional occupiers for the remaining units will be found as the construction programme gets underway.
The development is being funded by the Bank of Scotland and the contractor is OpCo with the Burgess Partnership appointed as project architects.