NEW YORK, Mar 4, 2002/ --- Italian luxury jeweler Bulgari said today that its first hotel will open in the heart of Milan in the second half of 2003.

The Milan hotel is the first project of Bulgari Hotels & Resorts, a joint venture between Bulgari and the Luxury Group of Marriott International, Inc., which was established in February 2001.

Bulgari Hotels & Resorts has a ten-year renewable lease agreement for the Milan location, and will invest about $5.2 million for design, some equipment and hotel start-up costs.

Bulgari revealed that the five-star luxury hotel will be located in Via Privata Fratelli Gabba, near the trendy Brera neighborhood and the Scala opera house, which is temporarily closed for renovation.

The hotel will have 52 rooms and suites, a restaurant, café, spa with indoor pool and a 200-square-meter presidential suite with a private terrace and pool. Most of the hotel's rooms will overlook the city's botanical gardens.

Bulgari and architectural firm Antonio Citterio & Partners are jointly designing the hotel. "Prices of the rooms will be at the top of Milan's high-end hotel market," Bulgari said.

"Once open, we intend this Bulgari Hotel to set the standard of impeccable luxury not only for every sophisticated traveler visiting Milan, but also for the local community," said Francesco Trapani, Bulgari CEO and chairman of Bulgari Hotels & Resorts.

When the joint venture was announced last year, Bulgari Hotels & Resorts said that it would consider opening locations in cities like London, Rome, Paris, New York, Miami, Southern California and exclusive islands.

The Milan hotel, as well as future ventures, will be managed by the Luxury Group.