Nakheel And Hotel Operator Kerzner Dumped 'The World' Hotel ProjectTuesday, May 29, 2012
Nakheel was in the planning process of a luxury hotel on ‘The World’ development with a South African hotel operator Kerzner International. However, according to the latest news Nakheel has dumped this hotel project due to the 2008 property crisis.
Nakheel had launched this project back in 2007 and Coral Island was chosen to work on this project. It was a luxury resort covering 73 hectares in the North American Region of its man-made ‘The World’ project.
The project was to be a 9.5 km of beach front resort, located across twenty islands with the central area comprising of a 150-room hotel along with spa, marina, 300 beach villas, town houses and water homes. According to news, the project was a joint venture between ‘The World’ and the South African hotel operator, Kerzner, the operator of the Atlantis The Palm Hotel on Palm Jumeirah. A spokesperson of Kerzner has also confirmed the news of the joint venture but also disclosed that the project has been terminated, due to property crisis.
The spokesperson further revealed that they were developing the hotel project on Coral Island with Nakheel which was named as the One&Only Coral Island, The World but when the project was in development stages, it was terminated due to Dubai’s financial crisis.
Kerzner has also sold its 50 percent shares in Atlantis The Palm to the co-owner Istithmar World, a part of Dubai World. The deal was a part of the company’s comprehensive restructuring plan to improve its capital structure.
Kerzner has also handed over the ownership of the Bahamas Atlantis Paradise Island along with the Bahamas One&Only Ocean Club to Brookfield Asset Management.
Istithmar has become the sole owner of Atlantis The Palm but Kerzner will continue to manage 1500 room Atlantis The Palm as a part of a multi-dollar deal.