Summary of Proposed Investment
Project Number
8250
Company Name
Jordan Inter-Continental Hotel Project
Date SPI Disclosed
Nov 10, 1997
Country
Jordan
Industry
Tourism, Retail and Property
Status
Completed
Sector
City and Business Hotel
Department
Regional Industry MAS MCT
Environmental Category
B - Limited
Previous Events
Approved : Jan 8, 1998
Signed : Feb 6, 1998
Invested : Jun 30, 1998
Project Description
Summary Of Project Information (SPI)
| Project Name | Jordan- Jordan Hotels & Tourism Company (JHTC) |
| Amman InterContinental Project |
| Region | Middle East |
Sector
Project No008250
Projected Board DateDecember 19, 1997
Company NameJordan Hotels & Tourism Company (JHTC)
Technical Partner and/or Major Shareholders
JHTC is a publicly listed company with a paid-in capital of about US$18.3 million equivalent. It is majority owned by Zara Investment Company, a tourism holding company, which is headed by Mr. Khalil Talhouni, a prominent Jordanian businessman.
Project Cost Including proposed IFC investment
Project cost of about US$38.8 million (including an IFC loan of US$10 million).
Location of project and Description of site
The InterContinental hotel is centrally located on Jebal Amman, one of the seven hills on which Amman is built, and an important commercial part of the city.
Description of Company and Purpose of Project
The project will comprise an extensive refurbishment of most of the hotel’s existing 366 rooms as well as the addition of 125 new rooms and facities such as a well-equipped health club, a banquet hall, a 200-car underground parking lot and meeting rooms. As part of the project, the hotel will also replace 15 of its elevators, its boilers, and the kitchen, safety and telecommunications equipment. The management agreement between InterContinental Hotels Corporation and JHTC has recently been extended to 2007.
Expansion of quality tourism facilities is needed in Jordan to accommodate current activity in the sector and future growth. The project would not only generate foreign exchange and create direct jobs, but is also expected to have wider economic benefits, such as increasing activity in the local construction industry, additional spending by tourists outside the hotel and upgrading of the hotel’s personnel skills.
IFC’s main role in this project is to provide long term funding on terms and maturities not available in Jordan. Also, IFC will ensure that the project meets the World Bank environmental guidelines, thereby promoting environmentally sensitive development.
Environmental Category and Issues
This is an environmental review category B project. Key environmental mitigation measures include: completion of a fire safety audit; boiler sulfur emissions testing and control; disposal of all waste via Amman municipal services; and employee safety training programs. The project will not utilize CFCs and all key infrastructure such as water and electric power will be provided by the respective national utilities. The sponsor is committed in ensuring project compliance with applicable Jordanian and World Bank requirements.
IFC will ensure ongoing compliance with World Bank environmental, health and safety policies and guidelines during the life of the project by evaluating monitoring reports submitted annually to IFC by JHTC and by conducting periodic supervisions.
The is from the Public Information Center.
| Date SPI sent to PIC | November 10, 1997 |
For Additional Information contact: Corporate Relations Unit -
telephone: (202) 473-7711
facsimile: (202) 676-0365
Environmental documents for this project are available at http://www.ifc.org and from the World Bank InfoShop (http://www.worldbank.org/html/pic/aboutinfo.html).
Sponsor / Cost / Location
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