Alvarez, one of the hottest properties to have come out of Argentinean football in recent years, looked all set for a move to Barclays Premier League outfit Arsenal, before Serie A duo Inter and Roma entered the race for his services late on.
Ultimately, it was Inter who managed to land the 23-year-old from Velez Sarsfield, and Alvarez admits he chose Inter because he believed they were the best in the business.
"I have chosen Inter, the best club in the world," Alvarez was quoted as saying on Inter's official website.
"Playing for the best club in the world is a marvellous feeling for me.
"I've really enjoyed these first few days, I'm settling in well and we're already working hard in order to win as many trophies as possible. I am really happy."
Alvarez did admit there was interest from Arsenal, but reveals there was never any indecision on his part that Inter were the club for him.
"Were Arsenal interested in me? Yes, that's true, but I'll say it again, Inter are the best team in the world."
The ex-Velez man also conceded he was motivated by a strong Argentinean presence already at the club, in the form of Walter Samuel, Javier Zanetti, Esteban Cambiasso and Diego Milito.
"Having various Argentinean team-mates is a great help.
"Samuel, for example, at the moment is helping me a lot, since none of the others are here yet, as are the Colombians [Ivan] Cordoba and [Nelson] Rivas, and the rest of the squad have rallied round, too."
Zanetti, Cambiasso and Milito are currently on international duty at the Copa America, and will only get to link up with Alvarez at the end of July.