Business | Tourism
Dubai firm plans $2b Islamic hotel chain
Company seeks partners for hospitality project.
- Reuters
- Published: 01:10 March 4, 2008
Dubai: Dubai-based Al Mulla Hospitality said yesterday it is seeking partners for a $2 billion plan to develop a hotel chain that complies with Islamic law, including a ban on alcohol.
The company plans to develop as many as 90 hotels in the Gulf, Egypt, Thailand and Europe, it said in a statement.
"The market for Islamic hotels is currently fragmented due to lack of professional management and we recognise the growing need for a professionally-operated international hotel chain which operates on Islamic principles," the firm's chairman Abdullah Mohammad Al Mulla said in the statement.
The hotels will also only serve food that Muslims are allowed to eat.
Al Mulla estimates the value of investment in hotels across the Middle East over the next 12 years will be about $1 trillion and is aiming to capture about five to 10 per cent of the market.
Financial products
Demand for Islamic fin-ancial products has surged as more of the world's 1.3 billion Muslims seek investments that comply with their beliefs.
"The company plans to grow its portfolio through management contracts, joint venture investments and acquisitions," it said.
Share this article
Popular in Business
-
Budget travel
Airlines in the region
Take a pictorial look at some of the budget airlines in GCC
Business Editor's choice
-
Louvre, Golden Tulip hotel chains to expand in region
Dubai could host first establishment in 2010
-
Lending slows down in eurozone
Central Bank will this week announce revisions to liquidity-boosting measures
-
Global outcry over Dubai World restructuring is exaggerated
About 75 per cent of the $20b bond has already been subscribed
