championship golf course on the former US Naval Annex has emerged as the preferred developer of Morgan's Point, sources have told The Royal Gazette .

It is understood that Morgan's Harbour Investment Management has been given the nod over BEAM, a local consortium fronted by construction president Alan Burland.

But the chairman of the Bermuda Land Development Corporation, Vincent Ingham, refused last night to comment on the reports, citing an agreement of confidentiality.

He did say however an announcement on who has been selected to develop the 200 acres of Southampton real estate should be forthcoming by February.

Interest over which of the two bids will be selected was piqued last week when Finance Minister Grant Gibbons told a town hall meeting in Warwick that an announcement would be made this week.

Mr. Ingham, however, would only say the process of selecting the preferred developer was ongoing and a memorandum of understanding has yet to be signed with anyone.

"We're still proceeding on the basis of confidentiality,'' he said. "I can tell you we are hoping to announce the preferred developer by the end of January or the beginning of February, but that will only follow signing of the memorandum of understanding.'' The Morgan's Harbour group is headed by UK-based Renaissance Resorts with local partners Edward Lawrence, Arthur Morris, James Pearman, and Robert Tucker.

It is understood the proposal includes the golf course, residential homes, a marina and a commercial village.

The Royal Gazette understands the BEAM plan included a championship golf course designed by American designer Tom Fazio and tied to English golf pro Nick Faldo.

Both bids, said Mr. Ingham, have complied with the broad use plan for the area, which called for a strong residential component, marina, golf course, hotel development, and a commercial village.

The BLDC announced in November that it had narrowed down the number of groups in the running to develop the site down to two from the five who had originally applied.

The winning team will be responsible for environmental clean-ups at the site and development is expected to begin in Autumn, 1997.

The successful bid will be examined by the public during an open house once the winner has been announced.