The dream of having a home in Bermuda is all the more possible thanks to a new fractional ownership scheme launched by The Reefs Beach Club.

The new luxury private residence club, which is based in Southampton and is set to open early next year, will give non-Bermudians the chance to feasibly buy a piece of real estate on the Island.

Until recently, such type and quality of properties were limited and had only been available to the super-wealthy, with only 12 homes for sale in Bermuda, starting at $4.8 million and 10 condos with an average price tag of $2 million on the market, according to Rego Sotheby's International Realty.

With fractional ownership the hottest new real estate trend to hit Bermuda, The Reefs is leading the way, offering visitors free holidays if they buy a property, reimbursing them up to $5,000 towards the cost of their 2008 holiday, regardless of where they stay on the Island, should they decide to purchase a part of the club.

Ownership starts at $345,000 for a fully-furnished two-bedroom apartment and goes up to $405,000 for a three-bedroom one, with each residence, which comes with a sea view as standard, being shared by up to 10 separate owners.

President and developer of The Reefs, David Dodwell, who has been involved with the resort since 1972/early 1973 and taking up a majority ownership in the mid to late 1980s, admitted that the new residence, which is being built next door to The Reefs hotel, had been a long time in the planning.

"The land was always empty and I always had my eye on it and when the principle owner passed away in early 2002/03, our company was able to purchase it and that is when we started to look at two things - what did the hotel need to do to take it to the next level, and how would we plan for it and how would we generate it with such things as a new spa and new employee areas, and that is when I started attending conferences on private residence clubs and fractional ownership," he said.

"We designed the concept of the units and put together a budget and went out to get some financing and we were successful and began the project in August last year.

"Basically, it is about building and marketing and selling the units - the sale of the units helps me to fund the purchase of the land and the units are built on the land, but now it also allows me to upgrade the rest of the hotel with a new spa, new house keeping area and new laundry.

"It is exactly $15 million of financing and all of it has been put back into the hotel because we have always reinvested in our products.

"My view of Bermuda is that it has not kept up over the years and the overall product of Bermuda has been allowed to languish and as a result there has been a loss of critical mass, but I have never allowed that to happen at The Reefs and I am constantly doing things that I pick up from my travels and readings to keep improving our product.

"It is an exciting project and I don't think I have ever been busier in my life being involved in the whole detail of it."

In fact, the club is seen as a natural extension of the existing hotel, right on the doorstep of the complex's three gourmet restaurants, a spa, a private beach and diving and snorkelling facilities. Other amenities include an owner's lounge, infinity-edge pool, fitness centre and rooftop putting green with impressive views over the Atlantic.

It is currently in the first phase of development, which is expected to be completed on April 1, with a front desk, lobby and bar all in the process of being installed, and will move into phase two, the construction of two new restaurants, including private and business dining facilities, set for completion on July 20, before the grand opening of the resort, following the final phase of finishing the eight three-bedroom and 11 two-bedroom residences, in May 2009.

Meanwhile, the hotel has been renovated, with new improvements in areas such as the bathrooms being carried out, and is due to re-open on March 14.

"There has been a lot of loyal repeat business from the hotel and fractional ownership was an opportunity for us to really take advantage of that," said Ben Tutt, managing director at The Reefs.

"The people who come back again and again really treat this as a second home.

"The greatest aspect of fractional ownership is you get to have a multi-million dollar home, but you pay a fraction of the price for a superior quality product."

Facilities also come with the personal touch as a concierge co-ordinates dinner reservations, golf tee times and on-site spa appointments and other Island adventures.

Non-Bermudians are restricted by Government policy as to the real estate that is available or they can afford, but the new residence clubs are not affected by the same regulations.

"Right now there's an incredibly limited supply of very expensive, full-ownership real estate in Bermuda," said Buddy Rego, chairman of the real estate Chamber of Commerce and president of Rego Sotheby's. And these Island homes cost on average $1,000 per square foot. So a 3,000 square foot home sells for around $3 million.

"As a result, luxury residence club homes, which sell at a fraction of the cost, are becoming increasingly popular.

"They are being bought by people who want to enjoy Bermuda resort living, but don't want the multi-million dollar price tag."

Indeed, buying at the very beginning of a residence club's development can prove to be a wise investment, with a 30 percent price increase between the first and final phases, according to The Helium Report, a website dedicated to luxury real estate, residence clubs, yachts and private jets.

Visit www.thereefsclub. com or call the sales office at (1) 886-399-9568 for more information on The Reefs Club.