Full plans still being finalised
The total cost of works on Douglas Promenade could reach £27 million.
That figure includes almost £21 million for the main regeneration scheme, £4 million already spent on planning, and up to £2 million for a separate project to improve sea defences.
Work is due to start in September, and is forecast to take three years.
Arrangements with private contractors as to how the works will progress are still being finalised.
Infrastructure Minister Ray Harmer says the project will be both on time and on budget:
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