The Abu Dhabi-based Rotana Group has announced the launch of 10 new hotels involving investments to the tune of Dh1.8 billion that are currently under various phases of development, said the groups top official.
The group is also mulling the possibility of floating an IPO on one of the UAE's stock markets around 2007. The new properties will add 2,500 rooms to the groups existing portfolio of 17 hotels having 3,500 rooms.
Once completed in 2006, the 27 Rotana hotels will have a combined capacity of 6,000 rooms, raising its annual turnover to Dh1 billion, from the current Dh500 million.
The group now employs about 3,000 employees. The new properties will add 4,000 new employees to its payroll.
Among the new hotels, the Abu Dhabi-based group's largest venture will be the Forex Rotana Suites to be located in a 72-storey, 380-metre high tower with 480 suites, owned by the Abbco Group. This will open in 2006.
Rotana will make its entry into Jumeirah Beach by launching Jumeirah Amwaj Rotana Resort, with 350 rooms and suites owned by the International Hotel Investment Company.
Rotana will have a 10 per cent equity in the Dh200 million project, currently being built by the Jum-eirah Beach Residence and scheduled to open in 2006.
The new hotels include the already announced Al Murooj Rotana Hotel and Suites having 253 rooms and 147 apartments and penthouses - a total of 400 units owned by Dubai International Real Estate. This is scheduled for opening this December.
The group will also manage Rotana Villas which will host 130 luxurious suites and studios. This is being developed by the Al Jallaf Group and scheduled for opening next year.
A Fujairah-based developer is constructing the Fujairah Rotana Hotel, which will have 180 rooms and chalets on Al Aqah beach. This will also be opened in 2006.
Rotana's first venture in Doha will have 300 rooms and 100 suites, connected to the Doha City Centre. This is owned by Al Rayyan Tourism Investment, part of the Faisal Bin Qassim Al Thani Holding Company.
In Kuwait the group will have a 200 suites project, owned by the Tamdeen group, located in Fahaheel district.
In Damascus, a 110 suite hotel, located at Queen Centre Shopping Mall, will open this June.
In Beirut, the Raouch Rotana Suites owned by Societ Generale Immobiliere will be operated mid next year, which will be in addition to the newly opened Hazmieh Rotana Hotel and the new extension of 36 suites to the Gefinor Rotana Hotel.
Selim El Zyr, president and CEO, Rotana Hotels, said: "The Middle East needs its fair share of the global tourism arrivals, which should be about 10 per cent of the annual global tourism arrivals. Currently, at best we are recording 3.5 per cent. We need to triple the existing capacity of the region's tourism industry.
"We need to create the right infrastructure for the growth of the tourism industry in the Middle East, for which Dubai has shown the way for others to follow."
He said his group will consider floating shares in the stock market in the future.
"We might float the group on one of the UAE's stock markets in the future. Currently we are working on a number of new projects that will materialise in the next few years. We are also negotiating with investors in Bahrain, Saudi Arabia and other parts of the Middle East," Selim El Zyr said.
"After a few years, once the new projects come online, we will expand our current portfolio and the image of the group will rise to a new height. It is then, hopefully around 2007, that we will be able to decide on the stock market option. Right now it is too early for that."
Gulf News
