Hakkasan and MGM form joint venture with Abu Dhabi and Dubai resorts underway

Resorts in Dubai, Abu Dhabi, Mumbai, Doha and Cabo San Lucas are under development by a joint venture between Hakkasan and MGM, the new company’s chief executive said, with the first project set to launch in late 2016 or early 2017.

Last week Hakkasan Group, owned by an Abu Dhabi-based investment company, and New York-listed MGM Resorts International, formed a hospitality joint venture – MGM Hakkasan Hospitality – with plans to develop and manage high-end, non-gaming properties globally.

The company will develop hotels, resorts and residential properties under the Bellagio, Hakkasan, MGM Grand and Skylofts brands.

Neil Moffitt, the chief executive of Hakkasan Group and now the chief executive of MGM Hakkasan Hospitality, said that the new company has several projects in various stages of development that they are looking to have open within the next five to 10 years.

“Dubai in particular has done a fantastic job of establishing itself as an attractive international tourism destination with great leisure offerings, while Abu Dhabi has made a very interesting move on focusing on cultural development, which attracts a dynamic and sophisticated demographic,” he said.

“MGM was already engaged in non-gaming developments through MGM Hospitality, and this new joint venture – MGM Hakkasan Hospitality is an extension of its company,” said Mr Moffitt.

“There will be some investment in the form of working capital. MGM has already been investing in its internal hospitality development team before forming this joint venture, which will allow them to see some economies of scale as it builds the new company with Hakkasan Group,” he said.

However, there has been no decision on which food and beverage brands will be developed, including the Searsucker and Herringbone chains in which Hakkasan acquired a controlling stake earlier this year.

“While there is nothing set in stone at the moment, Searsucker and Herringbone restaurant concepts have been very well received in the US, so it is something we are considering for our future developments, as well as introducing additional brands from the Hakkasan Group family,” he said.

Hakkasan is owned by Tasameem, the Abu Dhabi-based investment company. It opened Hakkasan Beverly Hills last year and was scheduled to begin construction on its first luxury resort on Dubai’s Palm Jumeirah this year.

Hakkasan was founded in London in 2001 and bagged a Michelin star in 2003. It has since expanded to cities including Miami, Abu Dhabi, Mumbai, Dubai, New York, Doha, San Francisco and Las Vegas.

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