Dubai’s SKAI Holdings in $300m finance deal for Viceroy hotel projects
Chinese and Arab banks help fund two large developments in Dubai
Dubai real estate investment firm SKAI Holdings has closed a $300 million finance package for the development of Viceroy hotel projects, the company said.
Several Chinese and Arab banks banks were involved including Abu Dhabi Islamic Bank, Industrial and Commercial Bank of China, Agricultural Bank of China, Bank of China, Invest Bank and Arab African International Bank. The loan was split between Islamic and conventional financing.
The terms of the loan deal, its lifespan and pricing were not disclosed by the company.
“This transaction received AED2.2bn (US$585m) in subscriptions, representing an overwhelming interest from some of the world’s foremost financial institutions. The syndication also demonstrates a firm commitment to Dubai’s growing hospitality sector,” said Kabir Mulchandani, Group CEO of SKAI.
“Construction work on our flagship project, Viceroy Dubai Palm Jumeirah, is progressing well and is currently six-months ahead of schedule, setting it on track for completion in the second half of 2016.”
China State Engineering Corp (Middle East) is the main contractor on the project as well as being a key investor.
Around 75% of the Viceroy Dubai Palm Jumeirah and 15% of the Viceroy Dubai Jumeirah Village has been completed by China State, putting them on track for opening in 2016 and 2017 respectively.
SKAI said in March it would upgrade its under-construction property in Dubai’s Jumeirah Village Circle to a five-star luxury property. The property will be rebranded as Viceroy Dubai Jumeirah Village following the signing of Viceroy Hotel Group as hotel operator. The property is set to feature 247 hotel rooms and suites as well as 221 one and two-bedroom hotel apartments and 33 four-bedroom hotel apartments with private pools.
Meanwhile, the Viceroy Dubai Palm Jumeirah will feature 477 rooms and suites and 221 serviced apartments.
