he Flagship Hotel in Galveston, Texas, is a can't-miss landmark along Seawall Boulevard: It's on the ocean side of the street, built 40 years ago on a pier that stretches 1,000 feet into the Gulf of Mexico. But the boxy construction is looking a little weather-beaten these days and is not long for the world.

The future of the pier, however, appears bright, emblematic of the transformation of this forgotten Gulf Coast town into a thriving cruise port. Houston-based Landry's Restaurants recently purchased the property and plans to gut the hotel to its steel frame and rebuild a "Flagship Pleasure Pier," complete with roller coaster, Ferris wheel and a hotel with Victorian-era touches.

Landry's is not stopping there. It purchased a Holiday Inn in March and plans to add 90 rooms to its Hilton Galveston Island property by next spring.

And to aggressively pursue cruise-related business, it will hire a sales director to handle that surging market.

In Galveston, cruising is the big story, and the numbers tell the tale: Three years after the port persuaded Carnival Cruise Lines to bring the Holiday here, about 365,000 cruisers will sail in and out of Galveston in 2004, according to Carnival figures, surpassing visits by the seven largest U.S. cruise lines in Tampa, Fla.; New Orleans; and New York.

Royal Caribbean's Splendour of the Seas arrived two weeks ago; the Grand Princess, one of the world's largest cruise ships, will be based here next winter.

In Texas parlance, Carnival is the Spindletop of Galveston cruising, a rig that gushed forth and created a cruise ship boom.

Galveston, so far, doesn't keep figures on the ships' impact on city revenue. But the industry contributed $44 million to Texas coffers in 2002, a 37% increase year-over-year.

An easy sell

On one recent Saturday, the port was booming -- and not just with vacationers checking into their cruise on Carnival's Celebration.

About 300 travel agents from across the state dropped by to see the ship, the city and the Tremont House and the Hotel Galvez -- the two hotels that offer pre- and post-cruise packages from Royal Caribbean and Carnival.

Following their tour of the Celebration, Goldie Asmo, of Golden Travel Adventures in Austin, sat with a few Travelo-city employees from San Antonio, including Diane Fernandez and Luis Martinez. Galveston was an easy sell, they said, especially to the drive market.

"Cruises put Galveston on the map," Fernandez said.

"There's so much going on," Martinez said. "So much change in the historic district."

"It could get as big as Miami," Asmo said. "Variety is the spice of life, and cruises here are not expensive."

Galveston's growth has been fast -- according to the International Council of Cruise Lines, passenger numbers shot up nearly 80% between 2001 and 2002 -- but it's still got a ways to go in competing with major ports like Miami, Fort Lauderdale and Port Canaveral, Fla.

Just under 1.1 million passengers will sail from Port Canaveral next year, said Terry Thornton, Carnival's vice president of marketing planning.

"It would take a pretty sizeable change" for Galveston to compete against the biggest U.S. cruise ports, he said.

Still, Thornton added, there's plenty of room for this Texas town to expand.

"It's very significant," he said of the Galveston business. "The distance of the drive market has astounded us."

Something there

Galveston had never been thought of as a pre- and post-cruise town -- but it is now, said Ron Guin, the resort sales director for the Holiday Inn, Hilton and the San Luis Resort.

"It's kind of a double benefit," Guin said. "The cruise industry kind of reiterates Galveston as a destination. So people in Dallas or San Antonio see all these cruise ship advertisements and say, 'There must be something there.' "

In the past, Galveston hasn't won the kind of recognition and reputation that other Gulf Coast towns such as New Orleans have, and it doesn't have the serene beaches of South Padre Island, a few hours south.

However, what it does have is the Seawall.

On one side of Seawall Boulevard are hotels, occasional seafood restaurants, maybe a surf shop. On the other, a concrete wall abruptly drops 30 feet to sand and to the Gulf of Mexico. People strolling or biking along the Seawall can spot several offshore oil rigs on the horizon, shimmering in the Texas sun.

The Seawall was erected to protect Galveston from sea surges after a powerful hurricane swept through a then-bustling town in 1900 and killed 6,000 people. Galvestonians still talk about the Great Storm (a 30-minute movie about the hurricane is now a visitor attraction). To hear some tell it, the city never fully recovered.

The rest of Galveston slopes away from the Seawall. Many areas of the city are faded and dusty. But the historical district still houses Victorian mansions that are intricately restored in detail and shaded by palm trees.

Nearly 10 of these homes are now open for guided tours or viewings, including the Bishop's Palace, a self-described "Victorian castle."

Strolling the Strand

Two city blocks away from the cruise port is a street called the Strand, the heart of the city's retail experience. The six-block-long shopping promenade is part oil-country frontier town and part New Orleans-style charm, with a few Spring Break-looking bars thrown in for good measure.

The Strand received a $3 million federal grant two years ago that went to repairing cracked curbs and sidewalks and adding benches and street lamps. The stores are filled with tenants selling antiques, Texas kitsch, clothing and sweets.

There are quaint touches like the "No Parking, Carriage Stand" signs for horse-drawn buggies, and a few smart-looking trolleys patrol the streets. But the Strand's historical charm also ends abruptly at 19th Street, where one store shingle advertises Honey's Oriental Lounge.

New signage, however, eventually will point visitors to Galveston's other tourist areas, like the Moody Gardens' Imax theater and indoor tropical rain forest; the Harborside complex with its tall-ship exhibit; restaurants and art galleries; and other attractions like the Kemah boardwalk and, someday, the Flagship Pleasure Pier.

"With the advent of the weeklong cruise ships ... that's made a noticeable difference, an increase in the number of visitors into the downtown area," said Fred Wichelp, the executive director of the Historic Strand Downtown Partnership.

The Tremont and the Hotel Galvez, a resort property located on the Seawall, have been restored to their former glory. Jackie Hasan, the Galvez's concierge, said some cruise guests bookend their voyage with hotel stays.

"Kind of like a warm-up and cool-down," she said.

Capitalizing on the demand, Carnival recently added two post-cruise tours, one focusing on Galveston history and the other on transportation.

Hasan said she was enthusiastic about the city's revitalization.

"It's kind of like we've been asleep for 40 years," she said. "And now, spring has sprung."

To contact reporter Rebecca Tobin, send e-mail to [email protected].

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