Riu Hotels, Nakheel sign JV
The planned Riu hotel, which has an investment value of $170 million, will be located at Nakheel's Deira Islands master development.
Dubai - In its strategy of expansion into the hospitality business, Nakheel is planning 10 hotels across Dubai. The first opened earlier this month, and six more have been announced or signed.
Riu Hotels and Resorts and Dubai master developer Nakheel have formally signed their business partnership agreement. Ali Rashid Lootah, chairman of one of the Middle East's biggest developers, travelled to Mallorca to sign the joint venture agreement with Luis Riu, CEO of Riu Hotels.
The chain's first hotel in Dubai will become a reality in 2019. Thus Riu becomes the first international hotel chain, and the only Spanish one, to sign an agreement with Nakheel. In its strategy of expansion into the hospitality business, Nakheel is planning 10 hotels across Dubai. The first opened earlier this month, and six more have been announced or signed.
The planned Riu hotel, which has an investment value of $170 million, will be located at Nakheel's Deira Islands master development, and will be unique at the destination as, with 750 rooms, it will be the largest built there to date, as well as the first to offer 24-Hour All Inclusive service. Deira Islands is one of Nakheel's large-scale coastal projects in Dubai and it will feature, in addition to hotels, the Deira Mall retail and entertainment complex, , the Deira Islands Night Market with 5,300 shops, a marina and an amphitheatre seating 30,000 people.
Luis Riu, CEO of Riu Hotels & Resorts, said: "The formal signing of this partnership represents another step towards making the first Riu project in the Middle East a reality. We're proud to have a partner with the experience and prestige of Nakheel for undertaking this ambitious project. Dubai is one of the great new centres of international tourism as it represents a strategic enclave on the route between Europe and Asia."
Ali Rashid Lootah, chairman Nakheel, said: "This is a major milestone for our growing hospitality business and a significant step towards creating a new range of affordable, family resort-style hotel accommodation in the Emirate, in line with the government of Dubai's tourism vision for 2021."