12 Reid, the boutique that received a facelift and a new name just two years ago, was relaunched once again Wednesday, this time as a men's clothing shop under new ownership.

Formerly owned by Tolaram Limited, 12 Reid Limited was bought by Domenico and Yvonne Cacace and transformed into a hip menswear boutique featuring cutting-edge Italian clothing. What was once a busy space showcasing an eclectic selection of house wares and accessories has become a riot of colourful clothes at the entrance to Walker Arcade.

The purchase, which includes the assumption of lease agreements on the Reid Street shop and a boutique inside the Walker Arcade, will increase the Cacace's retail presence to three outlets. The couple has owned an operated the Stefanel Boutique, which sits just next door, through Golden Adventures Limited for 14 years.

The third shop inside the mall will house baby and children's clothing from the Italian company Iana once Tolaram vacates the space later this month.

As she helped customers during the busy reopening, a well-coifed and well-dressed Mrs. Cacace said she and her husband saw a need for a men's clothing store in Bermuda.

The result is a boutique - a slightly adapted version of the original retail space - carrying several Italian menswear lines, including Sasch, Stefanel, Alberto Mancini, Daniele Alessandrini and Gianfranco Ferre.

Before the acquisition, the couple carried only a small selection of men's clothing in the Stefanel Boutique. With new-found room to breathe, the original shop now carries a greater selection of women's clothing that is more spread out.

Mrs. Cacace said the new shop received a steady flow of visitors - including serious shoppers and casual browsers - when it debuted this week

The shop was especially busy during lunch hours, when curious passers by stopped in. Several women entered the store in search of Father's Day gifts. But the key goal was to get men inside the doors, many of whom felt uncomfortable shopping for items in the original Stefanel, which has always been mostly a women's store.

"We've seen a lot more men, men that I've never seen before," Mrs. Cacace said.

Mrs Cacace said the new boutique will suit everyone, adding that she had seen schoolchildren and 60-year-old men browsing the racks during the store's

"There is a big range," she said.

There are trousers retailing for $39, and most of the lower-priced merchandise is part of the Sasch collection. But with several shirts, trousers and other items in the three-figure range or close to it, plus jeans for about $80, the new boutique appears to lean toward the high end of the market. Suit prices range between $400 and $600. In Bermuda, its main competition is The Edge, in Washington Mall - a slightly less refined retail space that carries the same sort of trendy clothing.

Whether 12 Reid's new merchandise - which includes colourful striped (and not just pinstriped) pants and plaid trouser/jean combinations - is too avant-garde for the Bermuda market remains to be seen.

But on his first visit to the shop, one customer didn't think so.

"I would normally go overseas for these sorts of clothes, to Armani Exchange or something like that," said Jermaine Posthelwaite as he scoped out an army-patterned T-shirt.

"I think there is a niche for this sort of clothing, which isn't hip-hop, that can be filled," he said, adding that he had bought a few pieces in the original Stefanel store before 12 Reid relaunched.

As many of Bermuda's retailers struggle as sales dwindle, the original Stefanel has been one of a few models of success.

"Business is very good next door," Mrs. Cacace said, referring to the women's shop.

"I think we do well because of our special customer service," she said.

"Customers are treated like family. We have a lot of repetitive business - people who shop every week"

According to Raj Tolaram, a director of Tolaram Limited, business was good at his store too, which like the new 12 Reid, sold high-end merchandise. In a telephone interview, he said he and the Cacaces initially planned to be partners in the new business, but he decided selling the existing operation was the best decision.

"It seemed to be a very good decision to sell it to them because my focus has become very much the development of our business," Mr. Tolaram said.

Tolaram owns 60 percent of the Louis Vuitton boutique on Front Street, which it hopes to "develop", and the company will maintain its license to distribute the popular Kate Spade bags. Eventually, Mr. Tolaram aims to bring more high-end brands to Bermuda.

Mr. Tolaram is convinced that luxury brand names create a psychological effect on consumers and will sell here. Offering products at US retail prices without the tax also make designer shopping in Bermuda an attractive option for tourists, he said.

Later this month, Tolaram's remaining merchandise will be moved to a new location, although Mr. Tolaram would not say where. For the moment, the bags, along with other merchandise, remain on sale for 30 percent off inside the Walker Arcade. Sales of the discounted Kate Spade bags have been particularly strong; even at full price, Ms Spade's merchandise was always a hit with local women.