Arabtec to build Dh810 million twin towers hotel in Dubai's Business Bay

Arabtec said construction work on the new Dubai hotel is set to start this summer and will take 24 months to complete. Picture courtesy Arabtec.

Arabtec has been awarded a Dh810 million project to build a pair of twin towers housing a 5-star hotel and serviced apartments in Business Bay in Dubai.

The 1.5 million square foot scheme will comprise 447 rooms and 136 serviced apartments as well as restaurants, meeting rooms, banqueting halls, a gym and a spa.

Arabtec said construction work is set to start this summer and will take 24 months to complete.

"This new landmark is expected to play a vital role in supporting the local tourism and hospitality sector, which continues to grow in line with the UAE vision and economic goals," Hasan Abdullah Ismaik, managing director and chief executive of Arabtec said.

The Dubai listed contractor which is 21 per cent owned by Abu Dhabi investment fund Aabar is currently raising capital through a Dh2.38 billion rights issue.

Mr Ismaik added that as the market was recovering, Arabtec was planning to pay out a dividend to shareholders of at least 10 per cent of the company's total share capital a year.

The planned dividend payout of at least 10 percent per annum of its total share capital is expected to take effect from 2013, subject to shareholder approval at its next annual general meeting.

The company, which was hard hit by the global financial crisis is hoping to diversify further into construction for the oil and gas sector and affordable housing.