Baccarat Hotel and Residences to Blend Classic French Chic with Contemporary Elegance...

Baccarat Hotel and Residences to Blend Classic French Chic with Contemporary Elegance at Dubai Pearl

AED2.5 Billion Luxury Hotel and Residential Apartments to
Complement Baccarat's 264-Year Lineage
DUBAI, United Arab Emirates--(Business Wire)--
Pearl Dubai FZ LLC, a consortium of investors led by Al Fahim
Group, today announced it has signed an agreement with US-based
Starwood Capital Group to develop a AED2.5 billion (USD 680 million)
Baccarat Hotel and Residences at Dubai Pearl.

The signing ceremony took place in the presence of Abdul Majeed Al
Fahim, Chairman of Pearl Dubai, and Barry Sternlicht, Chairman,
Starwood Capital Group.

Scheduled for completion in 2011, the AED1.5 billion (USD 408
million) Baccarat Hotel will cover an area of 500,000 sq. feet and
boast 342-rooms. The AED 1 billion (USD 272 million) Baccarat
Residences, featuring elegantly designed apartments over 300,000 sq.
feet area, will also bear the inimitable stamp of the Baccarat brand
within its aesthetically crafted interiors. A Baccarat style boutique
featuring top tier global brands will additionally define the luxury
component of the development.

Abdul Majeed Al Fahim said: "Dubai Pearl's partnership with
Starwood Capital Group is in line with our long-term strategy to
develop a diversified portfolio of world-class real estate projects
that focus on offering a rich experience to our patrons. Dubai Pearl
represents a landmark destination incorporating a quality urban
lifestyle. Complementing this stature, the Baccarat Hotel and
Residences will reflect the brand's singular blend of art and glamour
and enhance the dynamics of the local environment."

He added: "Our partnership with Starwood Capital Group is an
ambitious collaboration, but one that is backed by the enthusiasm and
passion of two partners with a like-minded commitment for innovation
and excellence."

Mandated to fashion the interiors of the Baccarat Hotel and
Residences, the renowned French brand will bring to the development
its unique and exclusive interpretation of sophisticated Parisian chic
and contemporary elegance.

Barry Sternlicht said: "Baccarat Hotels and Resorts will personify
the pride and impeccable attention to detail that has made Baccarat
one of the world's select few names that define and shape luxury.

"For centuries Baccarat has built a reputation of providing
elegant luxury products offering unparalleled beauty and flawless
brilliance, and now we are thrilled to have the opportunity to craft
these same elements in a prestigious destination such as Dubai Pearl."

With a lineage of more than 250 years, Baccarat has been
synonymous with luxury, hand-crafted quality and the unending pursuit
of perfection. The first announced Baccarat Hotel project will open in
2010 at Wailea in Hawaii. Baccarat is scheduled to roll out several
other developments in the Caribbean, Europe and the Far East.

With a built-up area of more than 15 million sq. feet, Dubai Pearl
will combine an active business district with a quality urban
lifestyle, offering easy access to premium commercial and residential
areas such as Dubai Media City and Dubai Internet City, as well as the
Palm Jumeirah.

The residential component of the project will include sky palaces
with private pools and gardens, sky penthouses, luxury branded
apartments and condominiums. It will also feature tower and boutique
offices and renowned hotel brands. Contributing to the growing
cultural calendar within the emirate, Dubai Pearl will boast a 2000
seat state-of-the-art theatre, a luxury fashion precinct within a
premier shopping mall, as well as cinemas and gourmet restaurants.

*Source: ME-NewsWire on behalf of Dubai Pearl

Dubai Pearl

Dubai Pearl is a US$4 billion world class, mixed-use development
by Pearl Dubai FZ LLC. Located opposite the Palm Jumeirah in the heart
of the Dubai Technology and Media Free Zone, a state-of-the-art
business cluster operated by TECOM and home to global IT and media
companies.

Dubai Pearl is a landmark destination offering spectacular views
of the Dubai coast. The development will redefine the pulse of new
Dubai providing a 24-hour living city with commercial, retail,
residential and leisure facilities. Designed with people in mind to
create an all year round walkable environment, the Dubai Pearl will
service the Dubai Technology and Media Free Zone and its communities.

Set for completion at the end of 2010, Dubai Pearl's prime
location will offer an unparalleled combination of free-hold in the
convenience of a freezone with luxury, energy efficient sustainability
and state-of-the-art technology.

Starwood Capital Group

Starwood Capital Group has been a leader in real estate
investments since 1991. Its international investor base includes some
of the United States' largest state and corporate pension funds,
endowments and foundations and high-net worth families from around the
world. During the past fifteen years, Starwood Capital and its
affiliates have invested approximately $6 billion of equity capital in
transactions representing over $30 billion of asset value. Starwood
has closed and/or advised on over 215 transactions ranging in size
from $1 million to $14.6 billion, and has acquired equity interests in
residential and multifamily, hotels, office, retail and industrial
space, golf and leisure-related properties.

Starwood's most recent transactions include the $3.2 billion
acquisition of Groupe Taittinger and Societe du Louvre, Europe's
second largest hotel network with a unique collection of 14 luxury
hotels in Europe, including France and Switzerland, in addition to
managing over 800 budget hotels throughout Europe plus the
approximately $1 billion acquisition of 32 Le Meridien luxury,
four/five star hotels located primarily across Europe but also in
North America, Africa and South America. Starwood has led the
formation and growth of several market leading companies including
iStar Financial, the leading publicly traded finance company
specializing in commercial real estate mortgage, mezzanine and net
lease financing; Starwood Hotels & Resorts Worldwide, a leading global
owner/operator of hotels, with ownership of brands such as Sheraton,
Westin, The St. Regis Luxury Collection and the "W"; and National Golf
Properties/American Golf Corporation, the largest owner/operator of
golf courses and related facilities in the U.S. Starwood Capital Group
no longer owns an equity stake in either iStar Financial or Starwood
Hotels.

JiWin PR
Linda Abdulhay, +971-4-361-3578
Linda.abdulhay@jiwin.ae

Copyright Business Wire 2008