Nakheel Hotels & Resorts, working in partnership with Kempinski, will open its first international hotel in Djibouti on the East coast of Africa, This represents the company’s first overseas property development.

Situated on the east coast of “the horn of Africa”, the hotel will be located in Djibouti’s capital - Djibouti City. The 400 room five-star Djibouti Palace Hotel will also feature luxury resort facilities including a beach club and retail arcade, as well as a state-of-the-art conference centre. The hotel will be the first new build 5* hotel in Djibouti, and will be run by one of the world’s most established hotel operators, Kempinski Hotels and Resorts. The hotel is part of a large integrated development which will also include a number of residential types (furnished and unfurnished apartments and villas), commercial offices and retail opportunities. Nakheel is also working on other leisure developments within the country of Djibouti which include a mountain top spa and island resorts.

The first phase of the hotel is already under construction, and the hotel and conference centre will be completed by the November 2006, in time to host the COMESA (Common Market for Eastern and Southern Africa) Meeting of Council of Ministers, which will be attended by leading political figures from throughout the world, including heads of state from the twenty member countries.

The beachfront hotel will be situated near to the Port of Djibouti, and it will continue Dubai’s investment in Djibouti; helping it develop as a business and tourist destination. DP World (Dubai Ports World) manages the port and has been key in the development of an oil terminal, container terminal and industrial and commercial free zone: the port has grown to become one of the most productive terminals in Africa and one of the fastest growing container terminals in the Red Sea.

Sultan Ahmed bin Sulayem, Nakheel Executive Chairman said:

“Dubai has very good relations with the government of Djibouti - a country which is seeing excellent progression in the business and tourism sector. Djibouti is a key strategic trading hub for Dubai, and Nakheel Hotels & Resorts is proud to announce its first international hotel investment.”

“This hotel will be a hotel for both business and tourist visitors, and it will include all the facilities you would expect of a luxury resort. We are very pleased to be working with Kempinski, who have an excellent record of pioneering quality hotel developments in emerging markets. The strength of the development has already been recognised by the decision of COMESA to use the hotel in 2006.”

Reto Wittwer, Chairman, President & CEO, Kempinski Hotels and Resorts said, “We are delighted to be the hotel group chosen to manage Nakheel’s hotel development in Djibouti. This project has the potential to raise the profile of the hospitality industry in the country and create a new awareness of Djibouti as a travel destination, and we will use all our operational expertise and marketing resources to make this happen.”

The Taisei Corporation have been appointed designers and contractors for the project; the Japanese company continue their excellent working relationship with Nakheel, having been also awarded the contracts for both The Palm Jumeirah vehicular tunnel, and Almas Tower at Jumeirah Lake Towers.
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