Bloomberg the Company & Products

Bloomberg Anywhere Login

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Communications

Industry Products

Media Services

Follow Us

IFA in Talks to Sell Fairmont Hotel on Dubai’s Palm Jumeirah

Don't Miss Out —
Follow us on:

May 6 (Bloomberg) -- IFA Hotels & Resorts Co. is in talks with Middle East investors to sell the Fairmont hotel at the trunk of a man-made island in Dubai.

The 381-room property, which opened on the Palm Jumeirah in January, is valued at about $350 million, according to Gabriel Matar, head of hotels in the Middle East and Africa at Jones Lang LaSalle Inc.’s hotel unit. Matar said a deal could be completed in the third quarter.

IFA is in discussions with “potential strategic partners” who are interested in buying a stake in the Fairmont The Palm, Chief Executive Officer Joe Sita said in a statement. The five-star property has 460 meters (1,500 feet) of beach front, 2,200 square meters (23,680 square feet) of meeting and conference facilities as well as a 1,600-square-meter spa, according to IFA’s website. It also has seven restaurants and cafes.

The sale, which would be the first on the Palm Jumeirah since the island was built, would be one of the few hotel transactions in Dubai’s thriving hospitality market. Occupancy rates in the city have averaged 87 percent this year, according to Jones Lang.

Union Properties PJSC, a United Arab Emirates developer, sold the Ritz Carlton Hotel at the Dubai International Financial Center for 1.1 billion dirhams ($300 million) in 2010.

To contact the reporter on this story: Zainab Fattah in Dubai at zfattah@bloomberg.net

To contact the editor responsible for this story: Andrew Blackman at ablackman@bloomberg.net

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.