MaisonPrive, a virtual hotel operator that offers luxury apartments and villas to business and leisure visitors to Dubai, on Wednesday announced private investment of $4 million to support expansion.
The investment is the first round of funding secured by the company, which was founded a year ago by Rami Shamaa and Paul Mallee.
They said the investor recognised the potential of MaisonPrive's "innovative business model to meet rising demand for high-quality accommodation in Dubai".
MaisonPrive manages residential properties on behalf of owners, renting them to corporate and leisure guests on short-term stays in Dubai.
The company said owners can generate between 30-40 percent more revenue from their properties without the hassle of managing guests.
MaisonPrive added that it is on track to at least double the number of properties under its remit by the end of the year.
Mallee said the investment signalled confidence in the company's growth strategy.
In 2016, Dubai’s Department of Tourism and Commerce Marketing (Dubai Tourism) issued new regulations governing the leasing of holiday homes in the emirate. Under the rules, private homeowners can apply for a holiday home licence without the need to go through an approved Dubai Tourism operator, provided they meet certain criteria.
"This initial funding round recognises the potential of the business model we have built. It allows us to develop the infrastructure to support our scaling targets in the short run. We are part of Dubai's fast-diversifying hospitality segment, offering visitors luxury, space, flexibility, and value while giving owners new revenue streams without the hassle of managing guests."
A report last month by Dubai Tourism showed that the city's hotel rooms supply will reach 132,000 by the end of next year.
"We want to be part of Dubai's competitiveness mix, meeting rising demand for high-quality accommodation supply as the business and leisure tourism segments scale," said Shamaa.
"We select the apartments and villas we manage on the basis of location and luxury, so they are always sited close to major transport nodes and visitor experiences, with on-site access to gyms and pools. The fresh investment affords us the scope to accelerate growth, scaling our footprint across existing and new markets, and leveraging new expertise, marketing and technology."
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