Dubai plans massive tourism and retail project
By Andrew Torchia
DUBAI (Reuters) - Dubai announced plans for a huge tourism and retail development including the largest shopping mall in the world, a fresh sign that the glitzy emirate has recovered its commercial ambitions after a crippling corporate debt crisis three years ago.
The development, on the outskirts of Dubai's current downtown area, will include a park 30 percent bigger than Hyde Park in London, said Dubai's ruler Sheikh Mohammed bin Rashid al-Maktoum, also prime minister of the United Arab Emirates.
A retail complex named the "Mall of the World" will be able to host 80 million visitors a year and include over 100 hotel facilities, Sheikh Mohammed said in a statement on Saturday.
A family entertainment centre linked to the mall, developed with Hollywood's Universal Studios, a unit of Comcast Corp CMCSA.O, would be designed for 6 million visitors each year.
The development, named "Mohammed Bin Rashid City", would also include a district of art galleries and an area where entrepreneurs could develop businesses.
Sheikh Mohammed did not say how much the development would cost or when it would be finished, but his description indicated investment would total many billions of dollars. It would be built by Dubai Holding DUBAH.UL, a conglomerate owned by him, and Dubai's leading real estate firm Emaar Properties EMAR.DU.
"The current facilities available in Dubai need to be scaled up in line with the future ambitions for the city," Sheikh Mohammed said, adding that Dubai aimed to become a business and cultural capital for 2 billion people in surrounding regions.
Such ambitions would have seemed ludicrous three years ago, when a crash of Dubai's inflated real estate market triggered a corporate debt crisis that forced state-owned conglomerate Dubai World DBWLD.UL into a $25 billion debt restructuring. Some of Dubai Holding's own units restructured their debt. Continued...