Dubai - Mubasher: Schon Properties and Al Hamad Group announced on Wednesday a joint venture to develop iSuites, a home-grown hospitality portfolio with a total value of AED 3.2 billion ($870 million).
The agreement will see the development of 2,550 hotel apartments at a single site within Dubai Investment Park, which is close to the Expo 2020 venue, according to a press release.
The entire complex includes 21 buildings, comprising 2,550 hotel suites, 52 restaurants and outdoor cafes, 125,000 square feet shopping mall, all surrounded by a manmade beach and a lagoon spread over 5 acres, all to be delivered before the historic Expo 2020 begins in the fourth quarter of 2020.
“Al Hamad Group is investing equity to finance the construction of the project and acquire a substantial stake in the 2,550 unit development while Schon Properties will retain a substantial number of units for recurring income, while some inventory is offered to select investors for sale,” the statement noted.
“Al Hamad Group will be responsible for construction via their contracting arm, Dubai Civil Engineering. iSuites is being jointly developed by both companies and will be managed by Schon Properties,” it added.
Sales of the iSuites are currently on as investors and buyers could now purchase a hotel suite or a service apartment that will be managed by international branded chain hotel operators and offers buyers a higher income of 12-15 per cent per cent.
