Abu Dhabi Commercial Bank (ADCB) has inked a Dhs950 million term facility with the developer National Investment Corporation (NIC) to provide working capital for its Fairmont Hotel complex in Abu Dhabi.
The complex, which is located on the Abu Dhabi break water, comprises of 45-floor twin towers accommodating a five-star hotel and residential apartments.
The 10-year loan is the first such facility agreed between ADCB and NIC, which also owns Marina Mall.
ADCB will also be the main lender for the project.
“NIC has played an important role in development of the whole area including the high-end residential villas and the Marina Mall,” said Abdulla Ali Al Saadi, managing director of NIC.
“This new branded development, which will be managed by Fairmont will provide further opportunities for the UAE Nationals to buy properties at such a prime location.”
ADCB’s head of corporate and business banking, Howard Gaunt, said that the new Fairmont complex is a valuable addition to Abu Dhabi’s tourism sector.
“The tourism sector is a vital contributor to the nation’s development and this strategic partnership is testimony to the confidence we have in National Investment Corporation to deliver on its reputation for first class developments.”
Abu Dhabi is expected to see a rise in hotel supply this year with a number of new launches. Overall supply is expected to reach 22,300 rooms by the end of 2016, according to a JLL report.
Approximately 850 hotel rooms are expected to enter the market by the end of this year with the opening of Capital Centre Rotana and Southern Sun Abu Dhabi, the report said.