Tourism is one of the major components in the Dubai’s success as an international mega development and investment hub, that’s why this market segment won’t ever stay overlooked by local developers. Almost every major real estate project has a number of hospitality units planned to be constructed as part of the concept, which makes the emirate one of leaders in the region’s hotel service market.
To those willing to spend only part of their time here in Dubai, the industry can offer a variety of accommodation options from luxury hotel rooms to spacious villas and serviced apartments. As imexre.com has already previously reported, renting property as a holiday home also gives the bigger part of income to its owners, providing one of the world’s highest return on investment levels. In Dubai, you can stay in an underwater villa or at the world's only seven-star hotel Burj Al Arab. Thus, it's not surprising that local developers strive to expand this service niche.
In particular, one of the largest Dubai property developers Nakheel has recently announced that it had signed a management contract with the Thai company Minor Hotel Group, which will manage its new hotel in the Ibn Battuta Mall. Two hotels are planned to be opened in this complex: 372 room hotel under the Avani Hotels brand and Premier Inn for another 372 rooms will open this summer. Both hotels will have direct access to the Dubai metro station.
More exotic hospitality project was presented recently by another Dubai-based developing company Eco Resort Group, which intends to build a true ecological oasis in the desert. Oasis Eco Resort located 100 km away from the Arabian Gulf in the Liwa oasis will become one of the utmost eco-friendly UAE hospitality projects: electricity here will be produced by solar panels, water will be extracted from the ground, and the wastewater will be fully recycled for irrigation. Besides, this resort is also planned to become the greenest eco-friendly UAE real estate project.
Dubai’s hospitality stock is expanding annually: last year alone the number of hotel units in the emirate increased by 5.5% compared with the previous year and reached 78,184.