A US company behind plans to build a five star resort at the former Sonesta/Wyndham site last night declined to comment on rumours it was looking for a quick sell-off of the property.

The Royal Gazette understands land appraisers have already been to the site, owned by Scout Real Estate Capital, of New York.

Tourism industry sources have said the company is preparing for a fire sale, where the property would be sold for a low price.

Yesterday The Royal Gazette asked the overseas firm if it had plans to sell the property in a fire sale and added that this newspaper understood it had already been appraised. We also asked them to provide updated information on plans for the site if this was not the case.

Scout's marketing manager Nicole Gentile said they had no comment. However, the site, known as the Southampton Beach Resort, remains on their website.

It states that: "Scout acquired the 32-acre oceanfront site of the former Sonesta Hotel and Wyndham in Southampton Parish. The property is truly unique, with incredible ocean views and three beaches. Scout has begun a full demolition of the existing hotel and the creation of Bermuda's first new major hotel and residential resort village in more than 30 years.

"Plans call for a five-star hotel, family-oriented private club and resort, spa, multiple dining venues and executive conference centre. The property will offer multiple ownership opportunities.

"Scout expects the luxury private club and resort to open in 2011."