The St Regis Bermuda would be the first major luxury hotel to open in the territory's seaside capital in more than 50 years.

The White Plains, New York-based company expects the high-end hotel to open in downtown Hamilton in 2013.

Luxury residences

Plans by a Bermuda-based architectural firm call for the hotel to feature 140 rooms and suites, 80 luxury residences, a spa, two restaurants, a wine bar, a library and a rooftop conservatory.

Financial terms of the deal were not disclosed. The company also declined to say when construction was expected to begin.

The announcement is welcome news for this wealthy British Atlantic territory, which saw tourism drop 17 per cent in 2008, compared to the previous year.

Right on target

Premier Ewart Brown said the "St Regis reputation is right on target with the type of destination we are trying to create."

Last year's total of 550,000 visitors was the fewest since 2005. Bermudian officials said arrivals by air and cruise ship were both down by double digits in the fourth quarter, and visitor spending fell 22 per cent to US$344 million.

The St Regis hotel in Hamilton would be owned by Par La Ville Hotel and Residences Limited, a partnership between Virginia-based Unified Resorts Limited and New York-based Sagewood Investments LLC.

- AP