Dubai: As the Heart of Europe project takes shape, its developer has acquired the first trade licence on The World.
The licence was issued by Trakhees, the government department for planning and development within the Ports, Customs and Free Zone Corporation, in charge of all licensing on The World.
The 20 villas on Germany with five-star hotel service and spa are due to be completed by the end of next year, according to the developer, Kleindienst Group.
However, it will start recruiting for its "party island" — Monte Carlo, which will have a marina, restaurants and beach clubs — with the opening of this island scheduled for the end of this year.
"We need the licence for the villa services and indeed our whole project as it is a resort island. But first up we will recruit 100 staff for Monte Carlo," said Chief Executive Joseph Kleindienst.
"For entertainment, we decided against taking on Café del Mar or any other existing brand, but create our own Dubai-made brand," he said.
Main operator
The free zone licence would in theory allow any expatriate-owned company to operate the project, but Kleindienst insists that his group will be the main operator. Some companies in the tourism sector have expressed interest in setting up offices there.
"We only had our own office planned. We didn't expect this interest but will allow prestigious tourism companies to set up on our islands," Kleindienst said.
Work on Germany is proceeding fast, most of the compacting of the sand has been done and construction of the villas is expected to begin "on June 10, or June 24 worst case scenario", said the developer.
To get all the construction material and machinery to the island, Penguin, the same operator Nakheel used, has been employed to come up with barges of all sizes. "At the moment there is enough available of everything in the construction sector, so it will be easy," Kleindienst said.
Financing of the first five islands, the developer said, is no problem either. The group has already invested Dh1 billion into the first five islands. Germany and Monte Carlo's land has been paid in full and for the remaining islands, Nakheel has agreed to a schedule leading to full payment by 2013.
Sweden, the largest island at 1.6 square kilometres with a climate controlled environment, retail, spa and clubs created in a Scandinavian style, will be the last one to be developed starting 2012.
"It is the most expensive one, so we will need funding for it, another Dh2.1 billion. There was no point in raising the money now, it is near impossible and too expensive. But our group's capital division will start working on it next year to have the money for 2012," Kleindienst said.
Over half, or 13, of the villas on Germany have been sold and the next villas will be coming up on Switzerland.
