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VIRGINIA BEACH - City council voted Tuesday to give $18 million to the developer of the old Cavalier Hotel to help renovate and preserve the 22-acre site.

The agreement is with new owner/developer Bruce Thompson who had proposed a $200 million development project on the site and then told the city that if he didn't get financial support, the hotel might have to be demolished.

The project would include renovating the iconic 86-year-old hotel and its Oceanfront sister property.

Construction is expected to begin in the fall.

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