Five-star development to meet demand for quality accommodation in Holy City
Abu Dhabi, United Arab Emirates: 14 January 2010 - Range Hospitality Ltd ("Range Hospitality"), a UK-based hospitality developer, today signed a mandate with Noor Capital PJC ("Noor Capital"), an Abu Dhabi-based investment company for the development of „The Range - Karbala‟. Noor Capital will be a Strategic Investor in the Development in addition to being appointed as the lead placement agent. By virtue of Noor Capital‟s mandate, Noor Capital will promote the Development through securing the additional capital required to finance the Development from potential investors.
„The Range - Karbala‟ will encompass one of the first luxury serviced apartment complexes located near the Holy Shrines in the Holy City of Karbala, Iraq. It is expected that the five-star Development will be completed in 2013.
Range Hospitality has appointed Dewan Architects & Engineers ("Dewan") as the lead architects and consultants, with over 25 years experience and projects spanning over 10 countries in the Middle East, Asia and North Africa. Regarded as a leader in its peer group, Dewan boasts significant experience in Iraq, with current projects including the Baghdad Rotana Hotel, as well as in the hospitality sector, designing the recently opened landmark Yas Marina Hotel in Abu Dhabi.
Commenting on the agreement, Mr. Munaf Ali, Co-Founder and Managing Partner of Range Hospitality Ltd. said: "Range Hospitality is committed to extending the best value proposition to religious visitors via this latest development, „The Range - Karbala‟.
keeping with our companies governing philosophy to support and encourage the development of the local communities in which we operate, twenty percent of the profits generated from „The Range - Karbala‟ will be donated to charitable causes."
Remarking on Noor Capital‟s appointment, Mr. Ali further added „‟We are delighted to partner with Noor Capital as our Strategic Investor and Lead Placement Agent. Noor Capital‟s expertise in arranging funding for such projects will be an asset and the know-how that they bring to the table will certainly complement our team of industry-leading professionals, ensuring the success of this project."
Mr. Abdul Jabbar Al-Sayegh, Chairman of Noor Capital, added, "Noor Capital is delighted to work with Range Hospitality on this important initiative. This transaction further highlights Noor Capital‟s commitment to introducing value-added investment opportunities to our investor base in these challenging markets."
The proposed development will feature a 12-storey hotel apartment complex, comprised of studio and one and two-bedroom units. The Development, with a total built up area in excess of 72,000 square metres, will include more than 650 apartment units and facilities and will offer a serene and secure setting with 24-hour security in and around the development. It is ideally located in the heart of the Holy City of Karbala, less than 1 kilometre away from the shrines most frequented by religious visitors.
Commenting on the need for high quality yet affordable accommodation Mr Ehab Al-Bakri, Head of Placement and Business Development at Noor Capital added, "With the growing number of budget-conscious travellers, demand has risen for affordable hotels that do not compromise on quality and which provide great value with excellent accommodation and services."
"This transaction is in line with Noor Capital‟s governing philosophy to promote hospitality projects within the Middle East and in particular within the religious tourism sector. Although the hospitality industry is currently facing challenges as a result of the financial crises, we still see a growing opportunity arising from demand for quality accommodation at such destinations. Underdeveloped markets in Middle East are still considered to have significant and untapped investment opportunities which potentially present substantial returns. With demand for accommodation increasing year on year, religious destinations offer naturally-hedged potential future returns and we are pleased to offer to investors such an attractive opportunity that will also have a positive social impact on our community."
More than 6 million religious visitors visit Karbala during the busiest season every year and with the growing number of religious visitors, the number is expected to increase year on year. Currently, there is a shortage of quality accommodation in Karbala and „The Range - Karbala‟ will fill this gap for quality, offering five star accommodation at reasonable prices.
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About Range Hospitality
Range Hospitality was established to develop hospitality projects in emerging markets and areas that benefit from significant volumes of religious tourism. Range Hospitality‟s ethos is to provide the highest quality international standard services to its guests and is a socially responsible investor - at all times ensuring its developments adhere to important local customs.
About Noor Capital
Noor Capital is a Private Joint Stock investment Company licensed and regulated by the Central Bank of the United Arab Emirates with an authorized and paid-up capital of AED 360 Million. One of the main strengths of Noor Capital is its diverse and multinational shareholder base, which includes majority shareholders from UAE and Kingdom of Saudi Arabia, Kuwait ,Qatar ,Bahrain. This diversity is also reflected in the management team and in the breadth of its distribution network.
Noor Capital is active in investing in financial services , education , listed securities and real estate sectors more specifically in the hospitality sector covering GCC and MENA ; On the hospitality front, Noor own a 4 star hotel in Dubai which is managed by Golden Tulip, a leading Regional hotel operator and have ambitious projects in the pipeline for 2010 which will be announced soon.'.
Media Contact:
Noor Capital
Tansy Green
Email: noor@noorcapital.ae
Commercial inquiries can be addressed to:
investor.relations@rangeholdings.com
noor@noorcapital.ae
© Press Release 2010
