disappointment yesterday that the Bermuda National Trust had objected to it.

Developers had worked closely on the $10 million proposal with the Trust and made a number of concessions, architect Mr. Sjur Linberg said.

Plans for an underground parking lot and an office building had been scrapped.

And developers agreed to stay completely off old Crow Lane.

"It will feature history and technology,'' said Mr. Linberg. "There will be nothing like it in the whole world.'' However, Finance Minister the Hon. David Saul, a member of the institute's Board of Trustee's and president of Fidelity International -- the company that is paying for half of it -- was confident of reaching a compromise. He noted the Trust had not objected to the principle of the development.

According to Trust director Ms Amanda Outerbridge, concerns were mainly with the overall size, plans to encroach into the waters of Hamilton Harbour and infringing on historic Trust-owned Pembroke Hall property.

"I'm sure we can work out something,'' Dr. Saul said. "But it's up to the DAB to make the final ruling.'' Mr. Linberg said the institute would feature halls containing travelling and computer-simulated exhibits, a restaurant, shop, auditorium and dock.

He said the height the Trust had quoted was from ground to the highest ridge of the four adjoining building's roofs. "The actual height is quite a bit less that 54 feet.

"The plans were modified in many respects, over a 12-month period. We've certainly done all we can. Given the programmes and exhibits the building has to contain, there is no way we can make it any smaller. And it is important that the institute is reachable from the water.'' Land reclamation was essential to create a dock that larger boats could use and for extra recreational space.

By refusing to allow them onto Pembroke Hall property and the old Crow Lane, the Trust had "boxed us in'', Mr. Linberg said.

Fidnat, a partnership between Fidelity International and the National Trust Endowment Company, owns the land and has given the plans its blessing in writing.

Mr. Linberg said it was a letdown that the Trust had not supported the plans too, considering Fidelity had acquired and bought the land in question for the Trust, setting up Fidnat to manage it.

The Trust says Fidnat is separate from them and has nothing to with the Trust Council.

But Mr. Linberg said: "The Trust is sitting on substantial assets through Fidelity's generosity. That is not to say they should abandon all principles, but we worked hard with them and clearly we haven't succeeded. We are disappointed.''