The Lighthouse Restaurant in Dewey is set to be demolished in early March and a new, modern restaurant will be built in its place, officials announced March 1.

Only the restaurant will be demolished; the lighthouse structure will remain, according to Dan Ivers of Beckerman public relations.

Following engineering and marketing studies, a decision was made to reconstruct the Lighthouse Restaurant rather than remodel portions of the 40-year old restaurant.

Thomas J. Hanna, president of Harvey Hanna & Associates and Lighthouse Cove redevelopment partner, said the new restaurant will serve as a critical component of the redeveloped project.

“The demolition of the antiquated Lighthouse Restaurant will pave the way for a new, updated bayside restaurant that will complement the long list of dining and entertainment destinations in the Dewey Beach area,” said Hanna.

Plans for the new restaurant include a newly designed, casual coastal-inspired interior, with updated kitchen facilities, expanded seating, new bathrooms and an outdoor deck overlooking Rehoboth Bay. The restaurant is projected to open in March 2020.

The new Lighthouse Restaurant is among the final phases of the Lighthouse Cove redevelopment project, which includes the Hyatt Place Dewey Beach Hotel, bayside residential condominiums, a conference center, The Lighthouse Restaurant and commercial retail space.