After Hurricane Hattie in 1961 destroyed approximately 75% of the houses and business places in low-lying and coastal Belize City, the government proposed to encourage and promote the building of a new capital city. This new capital would be on better terrain, would entail no costly reclamation of land, and would provide for an industrial area. In 1962, a committee chose the site now known as Belmopan,  southwest of the old capital of Belize City.