Abu Dhabi National Hotels Company (ADNH) and Ritz-Carlton have signed a memorandum of understanding for the Grand Canal Hotel, which is currently under construction in Abu Dhabi.

The hotel will have 532 rooms, suites and villas and is expected to be completed in 2011. Saif Al Hajeri, chairman of ADNH said: "Our alliance with The Ritz-Carlton Hotel Company is a demonstration of our overall plans of ADNH's growth strategy".

Ritz-Carlton has signed a deal with Tidhar Ltd and Migdal Insurance and Financial Holdings Ltd to buy a block of buildings on Rothschild Boulevard in Tel Aviv for US$50 million.

The new hotel will be amongst a number of other hotel developments on the street currently being promoted by the Tel Aviv Planning and Building Commission.

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