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Tue, Nov 19, 2024 | Jumada al-Awwal 17, 1446 | DXB
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Emaar sells Sky View Hotel, retains ownership of sky bridge restaurant
Emaar’s Address will retain ownership of the sky bridge restaurant
Dubai - Emaar Development reported property sales of Dh4.343 billion in the nine-month period (January to September) with a net profit of Dh1.359 billion
Emaar Properties on Wednesday confirmed the disposal of 100 per cent of the shares of its subsidiary ASV Group, which is the owner of the 169-key Sky View hotel, in transaction valued at Dh750 million.
Emaar Properties confirmed the sale in a note on the Dubai Financial Market (DFM), where it is listed. The note clarified that the hotel management agreement is with Emaar’s Address, which will retain ownership of the sky bridge restaurant. The developer clarified that the reason it has decided to divest its asset is because “it is in line with the assets light strategy for company’s hospitality assets.”
Emaar Properties, Emaar Hospitality Group, Address Skyview, and Evergreen Hospitality were the parties involved in the transaction. According to the update on the DFM, the date of the signing of the transaction deal was October 8, 2020, and the execution was on December 31, 2020. The expected closing date of the deal is on January 15, 2021. The transfer of ownership of the subsidiary owning the assets to the buyer has been completed, but the share transfer of the company owning the hotel operations is yet to be fully completed.
In 2018, Emaar Hospitality Group announced that it was selling five of its hotels, including the flagship Address Dubai Mall and Address Boulevard, to Abu Dhabi National Hotels (ADNH) in a Dh2.2 billion deal. The other three hotels included the Address Dubai Marina, Vida Downtown and Manzil Downtown; all together, the five properties account for around 1,000 hotel rooms.
rohma@khaleejtimes.com
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