in order to maintain its five-star service to visitors.

The resort is to close in December for work to demolish existing guest accommodations and replace them with 18 new luxury suites, in addition to a brand new kitchen area.

The programme tops off $20m spent at the property in the last ten years and will be one of the first Bermudian-owned hotels to apply for benefits under the new Hotels Concession Act.

It will re-open next April with new facilities that the owners hope will keep upscale visitors returning to its 25-acre Somerset peninsula.

President and chief operating officer Mike Winfield said the new suites will offer guests a much larger living area, in line with vacationer demands worldwide, but also of high standard to compete with global competition.

"There is an enormous challenge in Bermuda to provide five-star service -- we have set our objectives to provide that standard,'' he said.

"We try to provide everything our guests will need, as conveniently as possible.'' The work, which already has Planning permission, involves taking down six existing units, and building new single and double-storey suites, taking its inventory from 81 rooms to 93.

The new suites will nearly double in size what in other Island resorts would consider their top rooms, offering living space of between 770 and 835 square feet. They will feature luxury bathrooms with whirlpools, and balconies.

In addition new, state-of-the-art kitchens and associated facilities will be built.

"People are looking for space, they are looking to be able to relax,'' said Mr. Winfield.

"The whole maxim of Cambridge Beaches is to provide a home, not a hotel experience.'' Mr. Winfield said the work was vital if the resort was to continue to attract discerning guests.

"In this game, if you stop you die. There is an enormous amount of new resorts and destinations coming to the market. To return guests' loyalty and attract new markets necessitates virtually reinvention on a continual basis.'' And to ensure guests are not comprised by the work, the resort will close on December 5 and is set to re-open on April 1.

"I don't believe you can stay open and have major construction going on.'' And the president said the possibility of tax breaks via the new Hotels Concession Act smoothed the way for the project.

"It certainly was a very much easier decision with the act. We have applied for support and are hopeful we will receive that support,'' he said.

Resort to undergo renovation "It can make a huge difference in terms of operating costs.'' When the work is complete, Cambridge Beaches will boast top guest accommodations and new kitchens, in addition to its spa, pools, gym, private beaches and other on-site facilities.

The range of attractions and the surroundings -- coupled with a policy of turning down local bookings -- means that modern guests may only leave the resort two or three times during a five-day stay, and then possibly on a hotel-organised trip or excursion.

"We get into trouble because we refuse local bookings. The reason we do is because guests paying $500 a night should never have to wait in line or be inconvenienced by anybody -- if that means denying people the ability to come to lunch then so be it.''