Damac taps China State Construction Engineering Corporation for Dubai Paramount Hotel

Dubai-based property developer Damac has awarded the China State Construction Engineering Corporation a $150-million contract to build part of its second Paramount Hotel project in the Emirate.

CSCEC, the world’s third-largest construction company, will build 27 floors of serviced apartments at the Paramount Tower Hotel & Residences, an 867-guestroom hotel and hotel-residences tower on Sheikh Zayed Road scheduled to open in the first quarter of 2020. 

The development is Damac’s second Paramount-branded hotel. Turkey’s TAV construction is currently working on Damac’s $1-billion four-tower Damac Towers by Paramount resort, also located in Business Bay. The project, with a 540-guestroom Paramount-branded hotel and 1,400 serviced apartments, was originally scheduled to be completed this year, but the opening has been pushed back to early next year.

FREE DAILY NEWSLETTER

Like this story? Subscribe to IHIF!

The hospitality industry turns to IHIF International Hotel Investment News as the must-read source for investment and development coverage worldwide. Sign up today to get inside the deal with the latest transactions, openings, financing, and more delivered to your inbox and read on the go.

Under the terms of a 2013 deal between Damac and Paramount, Paramount does not invest into the projects, but lends its brand to them.

In August, Damac reported that its second-quarter profits were more than a third lower than during the same period a year ago, and that revenue was down 25 percent. However, the company’s founder, Hussain Sajwani, said its total profit this year was likely to be in line with last year’s numbers.

Upcoming Paramount ­hotels—to be developed by Damac—are slated for Abu Dhabi, Riyadh and two more in Dubai at Akoya and Jumeirah Waterfront.
 

Suggested Articles

With more than 50 hotels open in 10 states, the India-based startup is looking to open a hotel per day across the country.

The joint-venture partners have given a name to the upper-midscale brand they introduced in February.

Seven of the new hotels fall under the Budgetel Inn & Suites brand, three under the AmeriVu Inns & Suites brand and two under the Haven Hotel brand.