It's midnight on an early December evening in Monaco. Our small group of journalists is at Hotel de Paris, sipping farewell cocktails and watching French actress Audrey Tautou (star of the movie Amélie and the upcoming The Da Vinci Code) film a scene for a movie. Even in the quiet off-season, a visit to the tiny principality offers a glimpse of the lifestyles of the rich and famous. Add to that a stunning setting on the Mediterranean Sea, minutes from picturesque spots on the French and Italian Riviera, and you can see why Monaco is a top destination for international incentives.

Monaco has spruced up its infrastructure with major hotel renovations; an extensive restoration of the Monte-Carlo Opera House; and the opening of Grimaldi Forum Monaco, a technological and architectural marvel with three auditoriums, two exhibition halls, and 23 breakout rooms. As well, Monaco's “U.S. Dollar Guaranteed” program allows planners to lock in upscale accommodations and various amenities at affordable rates: Five-night programs start at U.S. $825 per person through 2006, for example.

Our group stayed at two properties: the 334-room Monte-Carlo Bay Hotel & Resort, Monaco's first new resort in 75 years; and the 619-room Fairmont Monte Carlo, reflagged a year ago and the principality's largest hotel.

What I liked best about the Monte-Carlo Bay was its modern European flair and stylish, art deco — inspired design that takes full advantage of a wonderful location on 10 seaside acres. More than 75 percent of the guest rooms have water views and private balconies. The $260 million property has wireless Internet access; a conference room for up to 250 people; 10 meeting rooms; and a 4,320-square-foot banquet hall. Among the public spaces is one of the few Western-style spas in Monaco. The hotel is owned by Societé des Bains de Mer, whose Monte Carlo Hotels, Spas, and Casinos division encompasses five hotels, 30 restaurants, and several cultural and nightlife venues, including the Casino de Monte-Carlo.

Another property that hugs Monaco's coastline is the immaculate Fairmont Monte Carlo, which impressed me with its attentive and gracious service. All the staff I talked to, from front desk to housekeeping, spoke fluent English. The property is embarking on a head-to-toe makeover, scheduled for completion in late 2007. The approximately $50 million renovation will reinterpret the hotel's original 1975 design, inspired by a sleek ocean liner, with guest room designs reflecting the feeling of an opulent European yacht. Meeting facilities include 23 rooms that can accommodate as many as 1,450 people theater-style.