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HYLAND Tamara Magel, Bedroom notably writers John Steinbeck and William Demby and the poet George Sterling. Sag Harbor is a New Urbanist's dream, pleasingly polymorphous yet harmonious, built up slowly over the centuries with graceful juxtapositions of American styles, from small, cozy cottages of the 18th and 19th centuries, houses that knew the families of cobblers, blacksmiths, candlemakers, basketweavers and whalers; to larger Federal houses, once occupied by prosperous farmers, sea-captains and merchants, with Victorian houses the domiciles of executives, like Joseph Fahys himself, and other captains of industry. In the middle of Main Street is the quintessential temple of entertainment, an Art Deco cinema that imported the 20th century to the then still sleepy town, still an adjunct to the stylish South Shore Hamptons Villages only a few miles away. Comforting Modernity, if I may use an oxymoron, were the watchwords at Watchcase, an invocation of clean