One of the most luxurious hotel brands in the world is coming to Bermuda in a multi-million pound project at the derelict Club Med resort.

Premier Ewart Brown yesterday announced five-star luxury hotel operator Bazarian International had won the contract to carry out the scheme at the St. George’s site.

Dr. Brown and Bazarian International spokesman Carl Bazarian both declined to identify the brand destined for Club Med — but they insisted it was one of the best regarded on the planet. Mr. Bazarian said the name was already synonymous with well-known resorts in Bora Bora and Anguilla.

He added that Bazarian International has been behind a host of world class developments in recent years, including Four Seasons hotels in Costa Rica and the Bahamas, and Ritz Carlton venues in the Caymans and Turks and Caicos.

The new Club Med resort, which is expected to be completed in three years, is likely to have up to 150 units, comprising one- two- or three-bedroom apartments, villas. It will be a maximum three storeys high.

The move is the latest twist in the story of Club Med, which closed as a resort two decades ago.

Over the years, a string of developers have been lined up to transform it, but each has fallen by the wayside. During the past few weeks, a storm of controversy has surrounded the site after dozens of homeless people moved in as squatters.

Unveiling the link-up with Bazarian International at a press conference yesterday, Dr. Brown said he was very excited at what Carl Bazarian could bring to the Island.

“You should know that he is at the forefront of hotel development throughout the Caribbean and has an impeccable record of delivery,” said Dr. Brown. “Bermuda can be proud today that we continue to have the allure to the wider world such that the level of confidence in our Island as a destination of choice is not diminished by the apparent inferences implied daily about our tourism, our hotel development and our need to compete on the world stage.”

Mr. Bazarian said: “This is an enormous responsibility. My firm has been very active in the Caribbean. I can’t identify the brand right now. It’s one of the most luxurious brands in the world. We are very, very proud.”

Mr. Bazarian described St. George’s as a national treasure and said the site would be ideal for a five-star resort. He said the time was right to upgrade the quality of brands in Bermuda and promote new products.

“Bermuda has always been considered as a luxury destination and upscale market,” he added. “Bermuda as well as the Caribbean are targeted for the high-end of tourists. We are very sensitive to history and culture.”

On the cost of the scheme, Mr. Bazarian would only say: “It’s pretty expensive.”

Dr. Brown said Government would now be discussing the “early demolition” of the existing property. He said Club Med had been a difficult project for Government to take on.

“The very public way in which the changing fortunes of the beautiful site ... has played out over the years has made it a mammoth task to address,” he said. “However, I am pleased to say that in spite of adverse publicity the development community continues to see the location for what it truly is: a pristine area, rich in history with breathtaking vistas.”

Dr. Brown said Government had received some “incredible” proposals, and that Bazarian International had been singled out by a committee representing a broad cross-section of the community.

Cruise ship operators, Norwegian Cruise Lines, intend to meet with the new developers of Club Med. Premier Brown met with the NCL representatives in Miami last week.

He said they discussed the 2008 cruise schedule but also spoke about other tourism issues. Dr. Brown said: “We are happy in our relationship. We have been impressed with their willingness to support the efforts of Tourism whenever we have called upon them.”

“NCL have reiterated their interest in contributing to the revitalisation of St. George's and indicated that they intend to meet with the new Club Med developer as soon as possible.”