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29 March 2024

R Hotels plans Dh1.5bn investment

Sumair Tariq

Published
By Staff

R Hotels, the hotels and hotel management subsidiary of R Holding, is investing Dh1.5 billion towards its acquisition and development plans and it is on track to double its hotel portfolio to six hotels by the end of 2015. 

Currently, R Hotels owns, manages and operates three hotels in Dubai and Ajman under the Ramada brands – Ramada Downtown Dubai, Ramada Hotel & Suites Ajman and Ramada Beach Hotel Ajman. It is planning to increase its portfolio by opening three more hotel properties in UAE during the next two years.

Sumair Tariq, Managing Director of R Hotels, said: “R Hotels has kept a consistent growth strategy since its inception. Our focus has been on trophy assets and building a strong team. We are on track in terms of our acquisition and development and will be opening our second property this year in JBR, the Walk. We plan to invest Dh1.5 billion towards our acquisitions and development over the next three to four years, and have already committed Dh500 million in 2013.”

Tariq also revealed that the company has started work on Palm Jumeirah as their next area of interest. He added:  “We believe this growth pattern will continue and we will double our portfolio of assets over the next two years.  We have created a niche market being a dry hotel, focusing on the product and guest services and building strong operations. We take pride in having a young, energetic, and efficient team that is positive and growth oriented.”

Part of the investment plan is to bring new hospitality brands to the UAE to cater to the demands of the ever-growing tourism industry. The openings of the new properties are expected to create additional jobs for the local workforce.

“The year 2013 reaffirms the growth in UAE”s tourism industry and studies show that this growth trend will continue in the next three to four years before it stabilizes. During the first and second quarter of this year, our properties recorded significant growth in their occupancy rates, even during the summer season when business is generally slow. Both the Ajman and Dubai properties recorded rise in their revenues above the general market trend so we are continuing to see a steady demand for our properties,” said Tariq.