The rise of Abu Dhabi

The UAE is known across the world as a fast-developing country with a penchant for large buildings, predominantly due to the rise of Dubai in recent years. But thanks to careful planning, excellent natural resources and investors that are prepared to think long-term, Abu Dhabi is on the verge of becoming a destination that attracts guests in its own right, as Lucy Taylor discovers.

The United Arab Emirates is one of the great tourism success stories of the past decade. Dubai has become synonymous with top-end, top-quality travel and predicted visitor figures for the next five years are through the roof. Indeed, most of the western world is now familiar with views of the city's towering skyline.

But what of other places in the UAE - its capital Abu Dhabi, for example?

The emirate of Abu Dhabi seems to have followed a calmer, steadier development plan over the past few years than Dubai. As a result it has been slower to come to international attention - but now, with numerous exciting developments nearing completion, unspoilt naturals settings to enjoy, multiple hotels and various cultural experiences, the emirate is emerging as the country's must-see destination.

The Abu Dhabi Tourism Authority (ADTA) recently revealed details of its five-year strategic plan up to the year 2012, aimed at boosting the number of visitors to the UAE capital to 2.7 million by the year 2012 - a 12.5% increase on previous estimates.
 

ADTA promotions director Ali Al Hosani explains that the authority was originally established in 2004 with the specific aim of promoting and developing the emirate's international tourism industry.

"Its creation was a clear indication of the Abu Dhabi government's determination to secure the emirate its rightful place on the international tourism map," asserts Al Hosani.

In parallel with its promotional role, ADTA serves as a catalyst in driving and co-ordinating the growth and development of the emirate's tourism infrastructure, facilities and services, including the construction of many additional hotels.

One hotel group that has its heart in Abu Dhabi is Rotana Hotels and Resorts, a company originally established in the emirate in 1992.

Despite impressive international expansion since the group's inception, Rotana executive vice president and chief operating officer Imad Elias insists: "Abu Dhabi is really our home base".

"It was actually quite challenging when we first started Rotana back in 1993 - we had to work hard to gain the trust of our customers in such a competitive region," says Elias. "But we gradually reached the hearts of our customers and attained market recognition And our strength lies in our knowledge of the market.

Rotana currently manages four properties in Abu Dhabi: the Al Maha Arjaan, the Al Rawda Arjaan, the Al Ain Rotana and the group's first property, the 565-room Beach Rotana.

A newcomer to Abu Dhabi is Shangri-La Hotels and Resorts, which officially opened the Shangri-La Qaryat Al Beri in August 2007.

Director of communications Natalie Glorney explains: "We went in to an agreement with Al Jaber to manage this property as we are aware of the vast growth plans in Abu Dhabi and wanted to be part of this growth."

And they aren't the only ones - the majority of major international hotel groups either already operate in the emirate or have a project coming up there, including Starwood Hotels and Resorts, Golden Tulip, InterContinental Hotels Group and The Rezidor Hotel Group.

Sterling support

As the ADTA's extensive plans for boosting Abu Dhabi's travel and tourism prove, the emirate is extremely serious about building its international status as a destination.

"The ADTA is placing great emphasis on leisure-orientated tourism," comments Rotana's Elias.

"With more than 200 natural islands to the west, year-round sunshine and fabulous beaches, we are a strong contender for the 'sun and sand' tourism sector. On top of that, the ADTA has announced that there are plans to further develop some of these islands as leisure resorts - and the government hopes to see much of the investment for these new resorts coming from the local private sector."

Shangri-La also works in close proximity with the ADTA, says Glorney. "We participate in major exhibitions and road shows with ADTA as part of the destination stand and work with them on major familiarisation and press trips.

"We also work closely with Etihad Airlines and develop strategic plans based on destinations that Etihad fly to," she adds.

A new hotel classification system, created by the ADTA in conjunction with various hotel companies, is currently in the process of being implemented across the emirate. The ADTA's Al Hosani confirms that the authority intends to have all hotels and hotel apartments classified by the end of 2009.

"The system has been well received by the international travel trade, who recognise its ability to deliver destination integrity and to provide them with greater confidence in advising and recommending accommodation to their clients," says Al Hosani.

He adds that there have been very few problems so far with the new scheme. "That may be because of all the intense research and drafting work which went into designing the system," he explains. "It took two years in all. Also the transparency of the system - both from the ADTA's side as regulator and the hoteliers' side as operators - leaves little room for problems."
 

Rotana's Elias believes the new system will "elevate the standards within Abu Dhabi".

"We strongly believe that this will provide much-needed consistency to tour operators selling the destination, successfully manage the expectations of our respected visitors and ultimately ensure a level of quality performance from all the emirate's accommodation providers in line with the development of a world-class destination," he explains.

Shangri-La's Glorney believes it will be better for all hotels to have an official rating, as it will "enhance the standard of hotels in the city".

Starwood Hotels and Resorts, which has several properties in the pipeline for Abu Dhabi, is also impressed with the standardised classification scheme.

As area director of sales and marketing, UAE, Shujaat Yar comments: "Ultimately it is the individual traveller who will benefit, by experiencing a destination where a consistently high level of service is delivered."
 

Top-heavy hotels?

Abu Dhabi has become synonymous with high quality accommodation, thanks to the impressive number of luxury hotels located in the emirate. But is it, as some industry professionals have suggested, slightly top-heavy?

Have hopes of creating a 'five-star emirate' resulted in lower end properties receiving less encouragement to develop there?

ADTA promotions director Ali Al Hosani says no. "There has not been any discouragement. I think you will find that with Abu Dhabi witnessing a shortage of hotel accommodation currently, and demand having been identified in the upper end of the market, the five-star product has been favoured by developers," he says.

"We anticipate that other levels will emerge in future for certain parts of the destination - although the five-star sector will remain predominant because it best fits our target audience," he admits.

According to Shangri-La's Glorney, the city has traditionally had a demand for five-star luxury properties. "However I do believe that this is shifting," she adds. "There is a new trend for contemporary, efficient and functional hotels and we see this demand being addressed with four and three star brands entering the market. Shangri-La Hotels and Resorts also has a four star business brand called Traders that we hope to bring to the city soon."

Rotana's Elias sees "a huge untapped potential for the mid-range and budget accommodation", which he believes offers attractive options to students and executives traveling to the emirate.

"The emergence of mid-range and low cost hotels has become one of the hottest trends within travel accommodation, introducing an essential diversity into the hotel category," he says.

"In 2006, we launched Centro Hotels by Rotana which is developed to meet the demands of the new generation of travellers, who seek both finesse and functionality at reasonable rates. We have committed to have 25 Centro properties within the coming five years."

It's true that the top-heavy outlooking will be broken up in the coming years; IHG will open a Holiday Inn in Abu Dhabi in March next year, with a 310-room Premier Inn is slated to open in December.

Indeed, Premier Inn Dubai Investments Park general manager Stuart Reid is eager to praise the ADTA for the support they've offered the brand.

"Abu Dhabi actually based their three-star model (for the new classification regulations) on us," he reveals. "It was going to be 32m² minimum size for a three-star room, then they came and saw us and changed the minimum size of the room. They've been absolutely fantastic."

However at the moment, says Starwood's Yar, there are "few options which would meet the requirements of individual travellers or companies who are price sensitive".

"There is certainly room in the market for hotel companies to enter and provide mid- range to low budget accommodation," he says.

Diverse developments

Hotels are the only thing being built in Abu Dhabi. A number of innovative projects are coming up in the emirate, promising to offer visitors even more unique experiences.

One of the most ambitious projects underway is Saadiyat Island, a 27km² island just off Abu Dhabi's coast.

Starwood's Yar explains that the island will host premium brands in hospitality, education and leisure, combined with the world's largest concentration of cultural institutions.

"There will also be berths for 1000 boats, two championship golf courses, civic and leisure facilities, sea-view apartments and elite villas," he adds.

Development began in 2006 and is slated to finish in 2018.

Work on Yas Island, a man-made island of around 6000 acres which is to host the new Formula 1 track, is also underway.

The Abu Dhabi International Airport is also set for a change, and is currently in the first phase of its US $254 million expansion, due to be completed in 2010.

The ADTA's Al Hosani is of course perfectly positioned to see how the new developments will effect the emirate.

"Coming up we have the Ferrari World theme park, the Gary Player-designed Saadiyat Beach Golf Course, the Desert Islands adventure, new museums planned for Saadiyat Island including the Sheikh Zayed National Museum, the Guggenheim Abu Dhabi Museum and the Louvre Abu Dhabi among them, and many more," he lists. "These projects will certainly change the face of Abu Dhabi's tourism offering.
 

Unique chic

There is no doubt that Abu Dhabi has a lot to offer travellers; the huge development pipeline for the emirate is evidence of that.

But what is it that makes this increasingly popular emirate stand out amongst its neighbours?

"Abu Dhabi is a truly unique proposition with its own distinctive character, philosophy, cultural heritage and future aspirations" says the ADTA's Al Hosani. "True, we share many common qualities and values with our regional neighbours, but we seek above all to define ourselves by our uniqueness.

"Our brand reflects the defining characteristics of Abu Dhabi - it embodies the prevailing ambiance of quiet dignity and our deep respect for the time-honoured traditions and values of our ancestors. It also symbolises our uncompromising commitment to maintaining the highest standards of quality and aesthetic, cultural and environmental harmony."

Rotana's Elias believes the secret of the emirate lies in its abundance and variety of offerings. "Pristine beaches, extensive desert wilderness, sporting attractions and luxurious shopping venues - it has everything," he asserts.
 

Shangri-La's Glorney adds that this variety of attractions provides Abu Dhabi with broad appeal.

"As a business destination, it offers world-class facilities and is the hub of the oil and banking industries in the Middle East," she notes.

As a leisure destination, the city boasts more than 200 islands to explore, white sandy beaches, year-round sunshine, desert adventures, a rich culture and heritage village and diverse shopping experiences.

In addition to this, the city offers world-class sporting events such as the Abu Dhabi Golf Championship and Red Bull Air Racing. Next year also sees the first Abu Dhabi Formula 1 race which will be an amazing addition to the city's sporting agenda," Glorney points out.

The emirate is also promoting itself as the UAE's cultural emirate, as Starwood's Yar relates. "Abu Dhabi is successfully marketing itself as an international cultural destination, with projects such as the Louvres and the Guggenheim coming up," he explains.

Future

Abu Dhabi may have a lot of exciting plans in the pipeline but, true to form, it is not rushing anything, as ADTA's Al Hosani explains.

"We believe in measured growth. Over the coming years you will see more resorts, cultural attractions and singular new destinations - however all will be undertaken and achieved in close collaboration with our stakeholders," he says.

"The ADTA believes solidly in collaboration; the future is in the wider industry hands, both public and private sector, not solely the responsibility of the authority."

Rotana's inventory of hotel rooms in Abu Dhabi will increase to 1000 within the coming year, says Elias, with the opening of Khalidiya Rotana and Park Rotana.

"This is in addition to our properties under development in Saadiyat Island and Capital Center," he adds. "Furthermore, Rotana has recently signed a management agreement with ALDAR Properties PJSC, Abu Dhabi's largest integrated real estate company, to develop four hotels: a 300-room Rotana Hotel on Yas Island, with an expected opening date of 2009; a 250-room Centro by Rotana with an expected opening date of 2009; a 250-room 5 star Rotana Hotel in Al Seef precinct of the Al Raha Beach development, with an expected opening date of 2012; and a 165-unit serviced apartment property in Abu Dhabi."

In addition to this, earlier this year the national holding group National Investment Corporation signed an agreement with Rotana to manage a 600-room luxury property in Marina Abu Dhabi.

Similarly, Starwood has signed four properties for the region, all set for completion by 2012.

"aloft Abu Dhabi is scheduled to open in Q4 2009," says Yar. "It's a 380-room hotel, to be located within the Abu Dhabi National Exhibition Centre, a prestigious business and residential development.

"Element Abu Dhabi is scheduled to open in 2011, also located in Capital Centre. It will have 36 studios, 144 one-bedroom guest rooms and 90 two-bedroom units, a restaurant, swimming pool and fitness centre," he continues.

"Then we have the 380-room St Regis Hotel and Residences Saadiyat Island, scheduled to open in Q3 2011 - a luxurious, five-star hotel, to be built and owned by Abu Dhabi's Tourism Development and Investment Company (TDIC). Adjoining the hotel, will be a separate St. Regis-branded residence with 280 apartments of one-, two- and three-bedrooms.

"Finally, the Westin Hotel, Golf and Spa, Abu Dhabi is set to open in 2011. It's a 146-room hotel, situated in the heart of the Abu Dhabi golf course hotel, residences and spa destination."

With Shangri-La planning to introduce its Traders brand, more low end hotels entering the region and various other hotel groups clamouring to be involved in the latest mixed-use developments, Abu Dhabi will certainly be able to cater for the numerous tourists predicted to visit the region in coming years.

And thanks to the steady pace and careful selection of projects in the emirate, they will not only find numerous accommodation options, amenities and attractions, but also a city that has retained its sense of tradition and personality.