Subic Bay is surrounded by the town of Subic and Olongapo City, both in the province of Zambales. Also in the bay are Grande Island, once home to Fort Wint, and was later turned into a rest and recreation island for the U.S. Seventh Fleet. Development of Olongapo City was largely tied to the presence of the United States Navy base at Subic Bay, once the largest U.S. military naval base in Asia. An arsenal and ship-repair facility was established at Subic Bay in 1885 by the then colonial power, Spain. Following the Spanish-American war, Subic Bay became a U.S. Navy and Marine base, and grew to be a major facility. Until 1991, it was the base of the United States 7th Fleet. Subic Bay, the Philippines' first free port, continues to be one of the country's major economic engines with more 700 investment projects, including the 4th largest shipbuilding facility in the world (Hanjin Heavy Industries and Construction (HHIC)). Following its successful transformation from a military facility to a premier investment haven, Subic Bay Freeport has now reached its crossroads as it takes on the challenges of increasing global competitiveness. Currently upgrading its strategic port facilities through the Subic Bay Port Development Project and forging ties with its equally-viable neighbor, the Clark Special Economic Zone in Pampanga to form the Subic-Clark Corridor via the 45-kilometer Subic-Clark Toll Road, these once bastions of western military might are now being positioned to become the most competitive international service and logistics center in Southeast Asia.