Emaar subsidiary sells Downtown Dubai hotel for $204m.

The iconic Sky View Hotel in Downtown Dubai, which is owned by a subsidiary of Emaar Properties, has been sold to US-based Evergreen Hospitality in a deal worth AED750 million ($204 million).

In a filing to Dubai Financial Market (DFM) it was revealed that ASV Group, owner of the hotel, had completed the deal to sell on December 31, although the transaction is expected to fully close on January 15.

The statement said: “The company decided to divest this asset because it is in line with the assets light strategy for company’s hospitality assets. ”Under the deal, the hotel management agreement will remain with Emaar, which will also retain ownership of the Sky Bridge restaurant.

The hotel, which opened its doors in December 2019, boasts 169 hotel rooms and 551 apartments, with a floating sky bridge and 70-metre long infinity pool some 220-metres from the ground. Emaar Properties recorded AED2.43 billion ($661.7m) in net profit for the first nine months of 2020, slumping 45 percent from AED4.44bn ($1.21bn) recorded during a year-earlier period.

Emaar’s hospitality & leisure, entertainment and commercial leasing business contributed $303m to the group’s total revenue. Evergreen Hospitality, based in Washington, was founded by Alkesh Patel and Mekund Patel in 2015 after the pair sold their hotel and commercial real estate assets and formed the company dedicated to new hotel development and management.

Source: Arabian Business

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