Movenpick pulls out of Palm Jumeirah resort

Owner Seven Tides in talks with potential operator for delayed Royal Amwaj project
Movenpick pulls out of Palm Jumeirah resort
An artists impression of the Royal Amwaj resort.
By Louise Birchall
Tue 02 Oct 2012 05:24 PM

Owner Seven Tides is in talks with a new potential operator for the delayed Royal Amwaj resort on Dubai’s Palm Jumeirah following the cancellation of a management contract with Movenpick Hotels & Resorts.

Movenpick Hotels & Resorts COO Andreas Mattmuller said the decision to end the management contract for the resort, which had originally been slated to open in 2010, had been an “amicable” one.

“As a result of a recent amicable agreement, the Royal Amwaj Resort & Spa on Palm Jumeirah will no longer be managed by Movenpick Hotels & Resorts. Movenpick wishes to focus its efforts on the four existing Movenpick properties in Dubai and the development of the three upcoming hotels in the city,” said Mattmuller in comments published by Hotelier Middle East.

The three properties referred to include Movenpick Hotel & Spa Oceana on Palm Jumeirah which is also owned by Seven Tides, as well as Movenpick Hotel Jumeirah Lakes Towers and Movenpick Hotel Apartments The Square.

Asked who would take over operations at The Royal Amwaj — now expected to launch in 2013 — Seven Tides head of asset management and hospitality Tim Klitscher said he was unable to comment as the firm was in “exclusive and confidential discussions with an operator”.

However, a source close to the project told Hotelier Middle East that Dubai’s Emaar Hospitality Group was Seven Tides’ front runner for the contract, with plans to manage the property under The Address Hotels + Resorts brand.

An Emaar spokesperson said: “Emaar is focused on strengthening our hotel assets as part of our strategy to expand our hospitality & leisure business.

"We will continue to explore potential growth opportunities in Dubai and other key markets, and are in discussion with various business groups. Details of any such additions to our portfolio will be announced as and when they are finalised."

The Asian-style resort on the crescent of The Palm Jumeirah will feature 293 hotel rooms and 450 condominium apartments when it opens.

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