Dubai developer Nakheel has awarded a Dhs79.7m ($21.6m) construction contract for the St Regis Beach Club on the Palm Jumeirah.
Ghantoot Gulf Contracting will build the facility, which features restaurants, fitness and gym facilities and a 100m pool, with plans for a 2019 opening.
The beach club will add to the St Regis Dubai – The Palm, a new 289-room hotel within the nearby 52-storey Palm Tower.
Nakheel said construction of the tower is 80 per cent complete in terms of concrete works. The tower will comprise 432 luxury residencies with a rooftop infinity pool, restaurant and public viewing deck.
It and the interlinked Nakheel mall, with 350shops, restaurant and other outlets are scheduled to open next year.
The company is diversifying into retail and hospitality assets so it is less dependent on traditional real estate.
Nakheel reported a 58 per cent year-on-year increase in net profit for the fourth quarter of 2017 to Dhs1.67bn ($454.6m)