Dozens of hotels were scheduled to open in the UAE next year, but several of these projects have now been delayed, put on hold or even cancelled, The National has found.
In Dubai, Kempinski Floating Palace, Six Senses The Palm and Mandarin Oriental Al Wasl can no longer confirm opening dates.
In the capital, Mondrian Abu Dhabi and Al Nawras Island, LXR Hotels & Resorts have had expected launch dates postponed until 2025.
Meanwhile, in Ras Al Khaimah, two glamping retreats from Cloud7 Hotels have been put on hold. Eco-friendly hotel Earth Altitude, which was set to open on Jebel Jais, has also been cancelled.
Delays in Dubai
When Kempinski Floating Palace, touted as the world's first floating resort, was announced, it had an opening date set for this year. But now the Swiss hotel group, which is working with a local owner on the project, cannot confirm when it will launch, a representative told The National.
The hotel, which is meant to have 156 keys, is to be anchored next to a stretch of shore on Jumeirah Beach Road, with guests being brought to the property or directly to their villas by speedboat or even their own vessels. As part of the plans, 12 exclusive villas are connected by pontoons and can be moved to other anchorage points, while the main building also doubles up as a floating helipad and there's parking for up to 16 yachts.
Mandarin Oriental Wasl Tower, meanwhile, which would be the city's second property from the international hotel group, also doesn't have an opening date "due to delays", the reason for which could not be confirmed.
The striking twisted building, on Sheikh Zayed Road, was planned to open by the second quarter of 2024, developers Wasl Asset Management announced last year. It's set to encompass 64 floors, with 358 hotel rooms and 229 resident units.
A representative from Six Senses told The National they also cannot confirm a launch date for Six Senses The Palm, Dubai, which was scheduled to open for bookings late next year. A 61-room hotel and 162 branded residences, of which the architecture is inspired by the UAE's coral reefs, are planned to sit along a private stretch of beach on Palm Jumeirah's West Crescent.
The hotel group, which merges wellness with sustainability in its ethos, has new properties opening in Grenada, London, Kyoto, Bangkok and Norway listed on its website, but nothing in Dubai.
Abu Dhabi postponements
Mondrian's first foray into the UAE was welcomed with much anticipation when it was announced earlier this year.
The 221-room property, to be located on the waterfront in the heart of Downtown Abu Dhabi with views reaching across to Reem Island and Al Maryah Island, was meant to open next year and the project has already broken ground, according to a statement.
However, the team from Ennismore, the hospitality group behind the brand, is now looking at a 2025 opening, it confirmed.
Elsewhere, LXR Hotels & Resorts, Hilton's collection of independent luxury properties, announced earlier this year it would be opening an all-villa resort with a private golf course on Abu Dhabi's Al Nawras Island in 2024.
“We’re excited to be growing our portfolio in Abu Dhabi and look forward to welcoming guests at Al Nawras Island, LXR Hotels & Resorts, which is expected to open in 2025," a representative has since told The National.
Sharjah and Ras Al Khaimah faces delays and cancellations
Marriott International and Sharjah Investment and Development Authority (Shurooq) signed a franchise agreement in January last year to bring the hotel brand's Autograph Collection to Sharjah for the first time. This is to encompass two five-star properties, in Kalba and Khor Fakkan, on the emirate's scenic east coast.
The Khorfakkan Hotel will feature 75 rooms and suites, the first waterpark in the area, a yacht club and residences, while the Kalba Hotel will incorporate 80 units, including one with four bedrooms.
These were scheduled to open next year, but neither Shurooq nor Marriott were able to provide updates on the project when asked by The National.
In Ras Al Khaimah, it's a similar story. Two glamping retreats called Cloud7 Camp Jebel Jais and Cloud7 Camp AlSawan were originally planned to open at the end of last year, offering 60 accommodation units crafted from sustainable materials. The launches were then moved to this year, but now the project is on hold, a representative of the Ras Al Khaimah Tourism Development Company confirmed.
Earth Altitude, an eco-based pop-up hotel concept set to open permanently on the UAE's highest mountain last year, is also now cancelled.
The boutique-style resort, from local group Earth Hotels, was to offer stunning views over Jebel Jais and encompass an activity centre where guests could book hiking, trekking, cycling and more. It was also set to offer homegrown restaurants and an infinity-style swimming pool with views over the peak.
Plenty more hotels to open in the UAE in 2023 and 2024
Despite the delays, there are numerous hotels still opening across the UAE, including One&Only One Za'abeel, Siro One Za'abeel and Five Luxe in Dubai this year.
The much-anticipated, superyacht-inspired Jumeirah Marsa Al Arab will also begin to open in phases, starting with branded residences at the end of this year.
Next year, Ciel Tower, Mama Shelter Dubai and Fairmont Dubai Skyline remain on schedule.
In Abu Dhabi, we can expect the 22-bedroom Anantara Santorini Abu Dhabi Retreat, which was only recently announced, to stick to its opening date.
Another Anantara property in Ras Al Khaimah will also open before the end of this year, alongside Saij, A Mantis Collection Mountain Lodge, with 70 luxury lodges offering a mountain retreat experience with guided treks and more.
Next year, Sofitel Al Hamra Beach Resort is still scheduled to open on time in the northern emirate.
Meanwhile, in Sharjah, having partnered with the Lux Collective – a Singaporean hotel company that’s behind swanky resorts in the Maldives and Mauritius – Shurooq will open the Lux* Al Bridi Resort inside the Sharjah Safari project in autumn next year. As the only luxury retreat inside the 800-hectares Al Bridi Reserve, the resort will offer visitors access to unique experiences including opportunities to spot the Big Five – rhinos, buffaloes, elephants, lions and leopards.
In Khor Fakkan, Lux* Al Jabal Resort is on track to open in the second quarter of next year. The nature-surrounded resort is set on a hillside overlooking Soueifa beach and villas that offer picturesque views over the bay.
Nomad, a new adventure travel experience consisting of 20 gleaming Airstream trailers set up at various locations across Sharjah, is also scheduled to open in the first quarter of next year.
COMPANY PROFILE
Founders: Sebastian Stefan, Sebastian Morar and Claudia Pacurar
Based: Dubai, UAE
Founded: 2014
Number of employees: 36
Sector: Logistics
Raised: $2.5 million
Investors: DP World, Prime Venture Partners and family offices in Saudi Arabia and the UAE
Avatar: Fire and Ash
Director: James Cameron
Starring: Sam Worthington, Sigourney Weaver, Zoe Saldana
Rating: 4.5/5
Killing of Qassem Suleimani
Benefits of first-time home buyers' scheme
- Priority access to new homes from participating developers
- Discounts on sales price of off-plan units
- Flexible payment plans from developers
- Mortgages with better interest rates, faster approval times and reduced fees
- DLD registration fee can be paid through banks or credit cards at zero interest rates
Dr Afridi's warning signs of digital addiction
Spending an excessive amount of time on the phone.
Neglecting personal, social, or academic responsibilities.
Losing interest in other activities or hobbies that were once enjoyed.
Having withdrawal symptoms like feeling anxious, restless, or upset when the technology is not available.
Experiencing sleep disturbances or changes in sleep patterns.
What are the guidelines?
Under 18 months: Avoid screen time altogether, except for video chatting with family.
Aged 18-24 months: If screens are introduced, it should be high-quality content watched with a caregiver to help the child understand what they are seeing.
Aged 2-5 years: Limit to one-hour per day of high-quality programming, with co-viewing whenever possible.
Aged 6-12 years: Set consistent limits on screen time to ensure it does not interfere with sleep, physical activity, or social interactions.
Teenagers: Encourage a balanced approach – screens should not replace sleep, exercise, or face-to-face socialisation.
Source: American Paediatric Association
Why it pays to compare
A comparison of sending Dh20,000 from the UAE using two different routes at the same time - the first direct from a UAE bank to a bank in Germany, and the second from the same UAE bank via an online platform to Germany - found key differences in cost and speed. The transfers were both initiated on January 30.
Route 1: bank transfer
The UAE bank charged Dh152.25 for the Dh20,000 transfer. On top of that, their exchange rate margin added a difference of around Dh415, compared with the mid-market rate.
Total cost: Dh567.25 - around 2.9 per cent of the total amount
Total received: €4,670.30
Route 2: online platform
The UAE bank’s charge for sending Dh20,000 to a UK dirham-denominated account was Dh2.10. The exchange rate margin cost was Dh60, plus a Dh12 fee.
Total cost: Dh74.10, around 0.4 per cent of the transaction
Total received: €4,756
The UAE bank transfer was far quicker – around two to three working days, while the online platform took around four to five days, but was considerably cheaper. In the online platform transfer, the funds were also exposed to currency risk during the period it took for them to arrive.
Our legal advisor
Rasmi Ragy is a senior counsel at Charles Russell Speechlys, a law firm headquartered in London with offices in Europe, the Middle East and Hong Kong.
Experience: Prosecutor in Egypt with more than 40 years experience across the GCC.
Education: Ain Shams University, Egypt, in 1978.
Section 375
Cast: Akshaye Khanna, Richa Chadha, Meera Chopra & Rahul Bhat
Director: Ajay Bahl
Producers: Kumar Mangat Pathak, Abhishek Pathak & SCIPL
Rating: 3.5/5
KILLING OF QASSEM SULEIMANI
Our legal consultants
Name: Hassan Mohsen Elhais
Position: legal consultant with Al Rowaad Advocates and Legal Consultants.
Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.
Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.
“Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.
Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.
“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.
Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.
From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.
Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.
BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.
Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.
Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.
“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.
Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.
“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.
“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”
The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”
The Light of the Moon
Director: Jessica M Thompson
Starring: Stephanie Beatriz, Michael Stahl-David
Three stars