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China State Construction Engineering Corporation will make its first-ever Middle East investment in the Viceroy Dubai Palm Jumeirah project.
“We are thrilled to be partnering with SKAI Holdings to develop this exciting new project, which we believe will become one of the region’s most sought-after resorts," said Yu Tao, president and CEO of CSCEC Middle East, which is also the main contractor on the project. "This is CSCEC’s first investment in a development project in the Middle East and marks a significant milestone in our growth in the region." The deal will see CSCEC set up a new entity with developer, Dubai’s SKAI Holdings, known as ASSAS to manage the investment. “Dubai’s strategic location between Asia, Europe and Africa together with its burgeoning real estate sector is set to become a vital area of growth for Chinese investment,” Tao added. Dubai-based property investment firm SKAI Holdings announced the $1bn hotel and furnished residences project on the Palm Jumeirah in May. Construction on the property has already begun and the hotel is scheduled to open its doors in the last quarter of 2016. Viceroy Palm Jumeirah will have 481 rooms and suites, plus 221 signature Viceroy Residences. The beachside property will host ten restaurants, as well as a gourmet market and bakery. In addition, the hotel will also have a spa, indoor fitness facilities and three outdoor swimming pools. Earlier this month, Kabir Mulchandani, CEO of SKAI Holdings, said the project had received a lot of keen interest from Chinese buyers: “We had an amazing conference in Beijing with brokers there. They saw the concept and payment plan and one stood up and said it was the best payment plan he had ever seen. We have a lot of Chinese buyers already.” CSCEC has been operating in the region since 2003. China’s largest construction contractor, it had a turnover of AED341.6bn ($93bn) last year and projects in its portfolio include the Federazija Complex in Moscow, which will include Europe's highest skyscraper, New York’s Alexander Hamilton Bridge and Hong Kong airport’s passenger terminal China, the world’s second largest economy, is ramping up its investment in the Middle East as it looks to diversify its foreign assets. China and UAE trade has increased 35 percent every year for the last decade to reach AED128.5bn, according to the Dubai Chamber of Commerce and Industry. |
