Dubai is in talks to fund the development of two Orient Express superyachts as oil-rich Middle Eastern nations seek to diversify away from fossil fuels.
Dubai Holding, Emirati ruler Sheikh Mohammed bin Rashid al-Maktoum’s investment vehicle, is in discussions with the French hotel group Accor to help finance the €800m (£684m) construction of two yachts bearing the Orient Express name, the Financial Times reported.
It comes amid an ongoing drive from Gulf nations to diversify their economies away from oil. Investment funds linked to the rulers of the UAE and Saudi Arabia have spent billions in sectors such as hospitality, tourism and services in recent years.
The Orient Express yachts are being built by the French company Chantiers de l’Atlantique and are set to launch in 2026 and 2027. Accor has been seeking a backer to help finance the construction.
The first to launch – the Orient Express Silenseas – will be the world’s largest sailing ship at 200 metres long, with 54 suites costing as much as €20,000 per voyage.
The ship will employ three rigid sales to use the wind to help it navigate, alongside traditional gas-powered motors.
Announcing the project last year, Accor chairman and chief executive Sébastien Bazin said the superyachts would be “reminiscent of the golden age of mythical cruises.”
Accor, which owns the Orient Express brand, is best known in Europe as the company behind budget hotel chain Ibis.
However, Accor has been pushing into luxury hospitality in recent years, launching new train routes and hotels in Italy under the Orient Express brand.
It has operated the 140 year-old Orient Express, which runs from Paris to Istanbul, since 2017. It acquired the brand from French publicly-owned rail company SNCF in a deal reported to be worth €44m.
Cabins on Orient Express trains can cost thousands of pounds, with a Grand Suite from Lyon to Venice costing as much as £10,100 and a twin cabin setting passengers back £3,550.
Dubai Holding manages $35bn worth of assets, including the Jumeirah hotel chain. Accor signed a deal with Dubai Holding to launch hotels in the UAE last year.
Accor and Dubai Holding were approached for comment.
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