Retail giant Landmark Group plans to launch 12 mid-market hotels by October 2010, after unveiling its Citymax budget hospitality concept last week.
Signalling a Dh1 billion investment across these dozen properties, or an estimated 2,500 rooms, the group's Chairman also confirmed plans to launch new hotel brands in the near future.
"Our strategy is to open 12 mid-market properties in the UAE by October under our Citymax Hotels brand, combined with some joint ventures and acquisitions," Landmark Group Chairman, Micky Jagtiani, told Emirates Business exclusively. "We have four Citymax Hotels planned – one of which will be a joint-venture with the established Byblos Hotel.
"There is a similar deal with another Lebanese hospitality company, where we have taken equity. The remaining properties are still under negotiation.
"Once opened, these assets should add nearly 2,500 hotels rooms to the UAE market, totalling a Dh1bn venture," he said.
The investment is a significant increase from the Dh450 million and three mid-market hotels Landmark had earlier announced.
Michael A Weyland, General Manager of hotels division, Landmark Group, told Emirates Business: "The Dh450m was the initial cost of the first three Citymax Hotels projects. However, the economic climate worked in our favour, resulting in a cost reduction of nearly Dh1m.
"If you split this over 1,331 rooms across the three Citymax properties, the average per key room cost is Dh318,000."
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