KM and Al Waleed plan 16,000 rooms

Dubai: Dubai-based KM Properties has tied up with Saudi billionaire Prince Al Waleed's family to roll out 16,000 new hotel rooms, service apartments and housing units.

"We have recently tied up with Prince Khalid Bin Al Waleed Bin Talal Al Saud, son of Prince Al Waleed Bin Talal, to launch a major roll-out programme that will see the development of 16,000 units within three to five years," Khulood A Al Rostamani, co-founder and group director of KM Holding, told Gulf News in an interview yesterday.

KM Holding has a majority stake in the joint venture, KMPK Properties, she said.

Khulood said, her company has already announced seven hotel projects in Dubai with a development value to the tune of Dh3 billion.

"We will also bring in investors in major developments, while the properties will be managed by Tamani Hotels and Resorts."

Tamani is a new hospitality brand developed by KM Properties.

Prince Al Waleed has stakes in Fairmont, Four Seasons, Movenpick and Raffles hotels.

"KMPK Properties' knowledge of the Saudi market, backed by experienced team of professionals, technical know-how and solid experience in investment products structuring, will surely provide our would-be investors with the investment vehicle they require. I urge local and international investors to invest in Saudi Arabia through KMPK Properties where we will be delighted to take any investor through our wide selection of real estate low risk projects, investment returns, legality and the full life cycle of the investment," Prince Khalid Bin Al Waleed Bin Talal Al Saud said in a statement.

Competition

Arab hoteliers are posing a strong challenge to their Western counterparts as a number of home-grown hospitality brands - such as Rotana, Jumeirah, Coral, Safir and Tamani - are expanding their reach to international travellers, industry officials say.

"Serving a replica of what you serve in London to the Arab customers in the Gulf is surely not respecting local custom and culture," Alain R Guernier, chief executive of the newly launched Tamani Hotels and Resorts, said.

In the Gulf, all major international players - Sheraton, Hilton, Inter-Continental, Le Meridien, Fairmont, Accor Group hotels Sofitel, Novotel, Ibis - have long dominated the luxury market while small-time expatriate and national operators have been running the cheap hotels in downtowns.

"International players have long dominated the market. Most of them have ignored the local culture for a long time. People dictate them from headquarters how a hotel in Dubai would be managed here," Guernier said.

Jumeirah, the Dubai government-owned brand, has already made a strong image across the region. It also has its footprints in London and New York. The company's ambitious expansion will see the Jumeirah neon lighting up another 25-30 more properties in the next few years.

Abu Dhabi-based Rotana Hotels and Resorts have already 25 property under management while another 28 are in various stages of development.

Coral, another home-grown brand launched in 2003, has ten properties under management and another 15 under development in various parts of the Gulf.

The latest entrant, Tamani will develop 16,000 units into the UAE and Saudi market, including 2,000 hotel rooms in Dubai alone.

Khulood A Al Rostamani, co-founder and group director of Tamani, said, "We have carefully taken into consideration of the local arts, cultures and our heritage and values while planning to develop the hotel brand. One will see these elements embedded into our hotels in the coming months."