QU OF NT AT A FE RU

BERMUDA

TOURISM INVESTMENT (HILLCREST BOUTIQUE HOTEL) ORDER 2025

BR 39 / 2025

WHEREAS Hillcrest Boutique Hotel Ltd. has submitted an application dated 7 January 2025 for a tourism investment order under section 3 of the Tourism Investment Act 2017 in respect of the Hillcrest Boutique Hotel redevelopment; WHEREAS the Minister responsible for tourism, having considered the application, is satisfied that the hotel redevelopment is in the national economic interest of Bermuda; The Minister responsible for tourism, with the written agreement of the Minister of Finance, in exercise of the power conferred by section 5 of the Tourism Investment Act 2017, makes the following Order:

Citation

1 This Order may be cited as the Tourism Investment (Hillcrest Boutique Hotel) Order 2025.

Interpretation

2 In this Order— “customs duty” means the duty payable under the Customs Tariff Act 1970; “hotel” means the Hillcrest Boutique Hotel, as developed by the hotel developer; “hotel developer” means Hillcrest Boutique Hotel Ltd., a company incorporated in Bermuda on 8 October 2024; “hotel occupancy tax” has the meaning assigned by Part V of the Miscellaneous Taxes Act 1976; “opening date” means the date on which the redevelopment of the hotel is certified as complete, in writing, by the Minister;

TOURISM INVESTMENT (HILLCREST BOUTIQUE HOTEL) ORDER 2025

“redevelopment” means the redevelopment of the Hillcrest Boutique Hotel.

Relief

3 Subject to paragraph 4, the hotel developer shall in respect of the hotel be entitled to the following relief—

(a) full relief from customs duty for a period not exceeding fifteen years from the operative date of this Order in respect of any building materials, furnishing, fixtures and equipment which are necessary for the building, furnishing and equipping of the hotel;

(b) for a period beginning with the opening date and ending on the fifteenth anniversary of that date, full exemption from hotel occupancy tax otherwise payable in respect of the hotel;

(c) for a period beginning with the sixth anniversary of the opening date and ending on the sixteenth anniversary of that date, full exemption from land tax otherwise payable in respect of the hotel;

(d) for a period beginning with the opening date and ending on the fifteenth anniversary of that date, exemption from the employer’s share of the payroll tax otherwise payable in respect of persons employed by the hotel.

4. Terms and Conditions

(1) To qualify for the exemption from land tax under paragraph 3(c), the hotel developer shall, for the relevant period, confirm in writing to the Minister that in years six through sixteen, 70% of the hotel’s staff are Bermudian.

(2) To qualify for the exemption from the employer’s share of the payroll tax under paragraph 3(d), the Minister responsible for workforce development shall, for the relevant period, confirm in writing to the Minister, annually, that a management training programme for Bermudians is in operation at the hotel.

(3) Where the construction of the redevelopment is not complete by the third anniversary of the date of this Order, the relief granted under paragraph 3 shall cease to have effect.

(4) In this paragraph, “relevant period” means the period for which the exemption is claimed.

TOURISM INVESTMENT (HILLCREST BOUTIQUE HOTEL) ORDER 2025

Made this 30th day of May 2025

Minister of Tourism and Transport, Culture and Sport

[Operative Date: 02 June 2025]