Real estate developer and manager Aldar is set to invest Dh1.5bn ($408.33m) in a significant transformation of its hotel portfolio, responding to the increasing demand for premium hospitality experiences in Abu Dhabi, UAE.

This strategic initiative will see the introduction of two global hospitality brands to the capital for the first time.

As part of a collaboration with Hilton, Aldar revealed that it will operate the Eastern Mangroves hotel which will be rebranded as the Waldorf Astoria Abu Dhabi.

This hotel will undergo a comprehensive upgrade that will focus on accommodations and advanced leisure and event facilities.

In addition, Aldar announced that Yas Plaza and the desert resort, previously known as Tilal Liwa, will be reimagined under IHG Hotels & Resorts’ Vignette Collection brand.

The property’s F&B offering, kids club, and spa facilities will be upgraded as part of the renovation.

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Yas Plaza will undergo a masterplan revision to become Straylight Yas, the world’s largest Vignette Collection resort.

The transformation aims to establish the complex as Yas Island’s premier destination, enhancing the island’s status as one of the leading leisure and entertainment hubs.

Nurai Island is also undergoing renovation and expansion, with plans for new villas, a ballroom, a community hub, and a jetty.

Aldar will also enhance the W Abu Dhabi hotel on Yas Island with new dining concepts, Brooklyn Chop House and Pappas Taverna, expected to open by the end of this year.

In Ras Al Khaimah, Aldar’s flagship properties, Rixos Bab Al Bahr and DoubleTree by Hilton Resort & Spa Marjan Island, are undergoing phased renovations.  

These enhancements align with the emirate’s strategic tourism growth plan, which saw a record 1.22 million overnight arrivals last year, including a 24% year-on-year increase in international visitors. 

Aldar has also announced plans to introduce the prestigious Nobu Hotel on Saadiyat Island, set to open in 2027.

Aldar chief executive officer Talal Al Dhiyebi said: “The UAE continues to enhance its appeal as a premier international leisure and tourism destination, and the government has a clear vision to further develop tourism infrastructure and attractions.

“In this context, we see a tremendous opportunity to enhance and reposition our hotel portfolio to meet expected demand in the luxury segment, while maximising the revenue potential of each asset. We are also incredibly excited to provide our customers with the opportunity to experience two world-class hospitality brands in Abu Dhabi for the first time.”