New Buddha-Bar Hotel on Dubai World Islands targets European travellers, UAE, GCC staycationers
Dubai: A new Dh3 billion luxury offering has arrived on Dubai's World Islands. Located within the Heart of Europe project, the recently unveiled development features the region's first Buddha-Bar Hotel, along with Floating Villas and a dedicated Buddha-Bar Beach Honeymoon Island.
This significant investment aims to capture the attention of European luxury travellers and the thriving UAE and GCC staycation demographic, Josef Kleindienst, Founder and Chairman of Kleindienst Group, told Gulf News. The Heart of Europe is a heart-shaped archipelago that features six themed islands – St Petersburg, Sweden, Switzerland, the Floating Venice, Germany and main Europe.
Kleindienst highlighted the strategic timing of the launch. Given that European travellers are becoming less inclined to travel to the United States amidst rising tensions and trade wars, he believes this creates a significant opportunity for destinations in the UAE and the wider GCC to attract luxury travellers from this market.
The resilience provided by the local market adds more confidence. Even if international traffic slows due to global economic concerns, Kleindienst believes the Heart of Europe can rely on the UAE and regional staycation demand, describing the strong local interest as a vital buffer against potential dips in international inbound tourism.
"Right now, our focus is Europeans and UAE staycation guests. And when our network grows and is built up in this area, then we will extend to new areas," said Kleindienst.
Project status, upcoming development
The $14 billion development, originally consisting of 300 man-made islands, was launched by Nakheel more than 20 years ago. Following the 2008-09 market crash, interest in the development waned until recently. In July last year, Kleindienst Group sold out the first phase of its Dh1 billion Marbella Resort Hotel, Vignette Collection by IHG Hotels.
Developed in collaboration with George V Eatertainment/Buddha-Bar International, the Buddha Bar project includes a 162-key overwater hotel, a collection of floating villas, and a dedicated Buddha-Bar Beach Honeymoon Island.
Adjacent to the hotel, the Buddha-Bar Beach Honeymoon Island is planned as an all-day and all-night venue. Nabil Souhail, VP of Buddha-Bar International, said the launch aims to 'raise the bar,' aspiring to bring 'the world's finest experiences to one place' and become a premier social escape in Dubai.
The Heart of Europe project is designed to include more than 4,000 keys across 20 distinct hotels and resorts. The project is aiming for completion by the end of 2027, with 52 per cent of construction progress achieved so far, said Kleindienst.
The development is planned to have a total capacity of 5,000 keys, equating to approximately 11,000 guests at full occupancy, plus up to 5,000-day visitors, for a maximum of 16,000 people on the islands simultaneously. The group's primary target demographics are lifestyle and experiential luxury travellers, including honeymooners, eco-conscious visitors, wellness seekers, and families, with a strong initial focus on Europeans and UAE staycationers.
While focusing heavily on the Heart of Europe project, Kleindienst said that the group has two other 'mega projects' designed, with the first expected to be announced within the next year. One of these is located within the UAE, with the other's location remaining undisclosed for now.
The region is thriving
Kleindienst's insights extend beyond the specific development, offering a bullish outlook on the wider Middle East hospitality sector. He views the growth in neighbouring countries positively, stating: 'What is going on in the Middle East makes everything more attractive. Saudi Arabia's opening makes the Middle East and every, every city in the Middle East more attractive.' While acknowledging that 'Many people see this as a competition,' he countered, 'We don't see this as a competition. It will simply bring more people here.'
He elaborated on the evolving nature of tourism, particularly among European travellers, a key market for Dubai. 'We know how Europeans travel,' he said, contrasting past behaviour with present trends. 'When I was young, our typical travel time was three weeks in one place... 'Dolce far niente' – the sweetness of doing nothing.' This, he explained, has drastically changed. 'Today, the travel behaviour is different... the most important in any destination is the internet so that you are connected,' he explained.
Summer appeal
Beyond trend adaptation, external factors also attract visitors, particularly in the summer months. Kleindienst pointed to the changing climate's impact on traditional summer destinations. 'The typical European summer destination was the Mediterranean countries... But now the temperatures in Spain in summer are also reaching 50 degrees, like here, but without AC.' This discomfort, he believes, leads travellers to reconsider their options. 'Now they say when it's already hot, I prefer to go to Dubai.'
Getting to World Islands
Located 15 minutes away from the mainland, a key pain point for offshore development like the Heart of Europe is accessibility. Kleindienst said that getting to The World Islands has presented logistical challenges, which the developer has worked to address.
'We faced quite a challenging time until recently when Dubai's Roads and Transport Authority (RTA) stepped in and started to support us,' Kleindienst said. This support includes using RTA Marina locations, access points within the water channel, and RTA ferries. Additionally, agreements have been secured with three private marinas on Jumeirah Beach, further enhancing connectivity options. Kleindienst described the current transportation situation as 'very good' due to these collaborations.
While most transportation will continue to be by boat, future plans aim to diversify access with floating helicopter landings planned for each of the six islands in the Heart of Europe. The group is also exploring technologies, observing the initial phases of drone transportation and air taxis to apply for integration later.
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