The hotel room investment programme in the Emerald Palace Kempinski Hotel Palm Jumeirah provides a unique opportunity for a secure investment, ensuring sustainable income with tremendous growth potential.
Sunrise Properties Ltd. (Seller), a 100% subsidiary of EPG Ltd., sells the Hotel Room to an individual Buyer on freehold basis and with a registered title deed.
Upon purchase of the Hotel Room, the Buyer leases it to the operating company (a 100% subsidiary of EPG Ltd.), which will act as an asset management company and the Tenant & Operator of the Emerald Palace Kempinski Hotel Palm Jumeirah.
Kempinski S.A. Hotels will manage the Tenant & Operator under the existing long-term Hotel Management Agreement.
The Tenant & Operator will also take on lease all other facilities and amenities of the hotel, such as F&B outlets, Spa, health club, beach club, children's club and all installations, required to provide a consolidated property for operational purposes. The Tenant & Operator operates the hotel as a whole and is licensed by Dubai's Department of Tourism and Commerce Marketing (DTCM) and all other relevant authorities.
40% of the total net income, generated by all Hotel Rooms is pooled and each Buyer is entitled to a proportionate share, corresponding to the area ratio of his Hotel Room to the total square footage of all Hotel Rooms. Moreover, the Buyer shall bear no costs of maintenance, repair, service or operation of his Hotel Room.
The Tenant & Operator will pay the Rent directly to the Seller's account, along with quarterly management accounts. The annual audit will be prepared by one of the Big Four audit companies. The Owners of Hotel Rooms in the Emerald Palace Kempinski Hotel Palm Jumeirah will be entitled to spend 14 free nights a year in their Hotel Room and will enjoy benefits as an Emerald Palace Club Member.