Dubai, February, 2015: Rising demand for premium hotel accommodation in the UAE has prompted leading Dubai-based developer, The First Group, to shift its focus to developing top-end properties in this category in conjunction with leading global hospitality brands.
The British-owned property developer, which already boasts an enviable portfolio of hotels and hotel apartments in popular Dubai precincts including Dubai Sports City and TECOM, is currently constructing two new premium hotel developments in Dubai Marina.
The Wyndham Dubai Marina and The One Dubai Marina will be managed by the Wyndham Hotel Group, the world’s largest hotel operator. The developments mark the group’s first foray in the UAE.
“We recognised the need for greater diversification in the accommodation offered to Dubai’s visitors, and as a result we decided to put our efforts into developing hotels and luxury hotel apartments,” said Rob Burns, Chief Operating Officer at The First Group. “It is a move we have definitely not regretted, especially given the tremendous growth within this sector over the last few years.”
Around 5.8 million tourists visited Dubai in the first half of this year alone, checking into 634 hotel establishments across the city. Hotel apartments currently make up 28% of Dubai’s total room stock – the highest proportion of such units in the UAE. As of August this year, there were 24,924 hotel apartment rooms, according to a Colliers report. New government incentives to stimulate the construction of more mid-range accommodation are also contributing to the boom in hotel apartment projects.
“Investing in hotels and serviced hotel apartments are proving the perfect choice for investors who are searching for safe investment options and competitive returns,” Burns said. “The First Group’s partnership with renowned global hotel brands such as AURIS and Wyndham Worldwide means we can deliver an excellent and affordable hotel investment product without compromising on quality services and standards.”
The hotel apartment market is proving an attractive investment option for hospitality asset owners. Dubai hospitality operators reported that hotel room rates averaged Dh629 ($171) per night, with occupancy rates stable at around 80%.
About The First Group:
The First Group is a British-owned international hotel & property development company, whose principals have built up their expertise and success in the global market over the last 30 years. The First Group management team draws from strong and diverse backgrounds in the fields of global property, finance, acquisition, marketing and product development. Its expert eye for emerging property market potential and prestigious partnerships with industry leaders means that their clients can enjoy secure and attractive returns from one of the world’s most vibrant hotel markets. With its global headquarters in Dubai and offices spanning Moscow, Almaty, Kazan, Astana, Abuja, Lagos, Jeddah and most recently Baku and Khobar, The First Group’s expansive client base is already enjoying lucrative financial rewards. To find out more about The First Group’s developments and opportunities, visit www.thefirstgroup.com.
The First Group
+971 4 455 0100
22nd Floor, Tameem House
TECOM, PO Box 24573,