Wallace planned the expansion of Wemyss Bay into a "Marine Village" of 200 villas, with facilities including three churches, hotel, Academy, hot baths, reading room and billiards room, terraced walks featuring a fountain and grass promenade, bowling green, curling pond, and quoiting ground. His plans included a harbour and a steamboat quay. In 1846 the Jamaican estates Wallace had inherited were devalued, and he lost his wealth. He resigned as MP, and sold the Kelly Estate to an Australian merchant named James Alexander.