http://www.chn.ir/en/news/?section=1&id=1679

Paad Investment Company will invest 700 million US dollars on building the highest hotel of Iran.
Tehran, 17 June 2006 (CHN) -- The biggest hotel of Iran with 700 rooms and a foundation area of 400,000 square meters will be constructed by spending 700 million US dollars by the Paad Investing Company which is an international consortium consisting of four Iranian, Turkish, German and UAE companies. This project will be implemented with the cooperation of Tehran’s municipality.

Having 64 floors, this hotel is going to be the tallest hotel in Iran which will be constructed in the city of Tehran. It will be equipped to four helicopter pads. In addition, building of some shopping centers and official complexes near this hotel has been considered in this project.

The people who are involved with this project are currently going through the official processes to get certificate from Tehran’s Municipality in order to start this mega project. Experts estimate that at least five years is needed for the construction of this five-star hotel.

Mohammad Javad Zareiefar, deputy of board of directors of Paad Company, believes that although hotel construction is a long term investment for economic profit, construction of an official and business complex next to this hotel will reduce the period of beneficiary.

This hotel will be constructed on the crossing of Chamran Highway and Mola Sadra Street in Tehran. According to Zareiefar, 30 years ago this land was allocated for construction of a 57-floor hotel. However, due to the Islamic revolution of the 1979, the eight-year war and its aftermath, performing of that project was postponed until today.

“Considering the enormous tourism potentials the city of Tehran has, it is certainly important to build more high-qualified hotels in this mega city,” said Zareiefar.

Wow.. thats amazing. Cant wait for the render

:O this is amazing! I mean, let me phrase a dutch proverb: Als één schaap over de dam is, volgen er meer. What loosely translated is: If one tries something new, others will follow.
I hope there will be more of these big budget building projects soon. This will increase the tourism, I'm sure of it. Just like the marketing strategy: Build it, and they will come.

Sorry for all the phrasing :P

By the way, this building having 64 floors, will be atleast 225 meters and if they put a nice and long peak on it ill bet it will surpass 250 meters even :tiasd:

or with persian accent "alllls EEschap oveeer Dam Ies, volgin er mier"

bloody hell... thats hella kool! cant wait to get more info. Any idea on who's contracted to build it? Domestic company? or foreign... like German company or summit??

isnt 700 million a bit expensive?....

isnt 700 million a bit expensive?....
maybe, but i guess thats an advantage for the iranians :)

I hope they allow this to be built. It takes three years to finish.

700 million for a hotel with 700 rooms is huge! It’s a million for each room!

Can someone help me understand what the tourism potential is of Tehran, specially for 5 star hotels?

Just looking at the basic economics of this project, it would be really hard to make a profit within the next 50 years.

I was thinking the same thing -_- this is a very bad move... that means to make profit in 10 years they need to make the price of a room about 300 dollars a night.

700x365=255500 reservations a year. 700million/255500=2739 dollars (a room to make it profitable within 1 year)
2739 divided by 25 years makes the building profitable if rooms are atleast 110 dollars a night. Offcourse this is under ideal circumstances. Waldorf=Astoria Hotel is open for more than 75 years now. So ill see a chance this building will actually make profit.
however 700 million is a high price

@ThePersian,

You are forgetting a lot of things, such as employers, bank rate, marketing cost, general cost and so on… Also 100% occupancy for the whole year isn’t realistic.

This is wwwwwaaaaaayyyy to expensive -_-

I think its one of those projects that the powers at be just want to prove something... i.e. we are better than the previous government because we can finish the developments they proposed. This place is towards the Tochal cable cars right?.... international skiing tourists will occupy too. Bare in mind that Tehran really doesnt have a new plush 5* hotel everything is from the 60s and 70s... if i was rich businessman in Tehran id go to this new place. In addition with international conferances the Iranian government picks the hotel that they want the foreigners to stay and so theyd pick this one more.. altho this would mean a financial loss for hotels like Laleh, the former Evin hotel and the former Hilton.

@ThePersian,

You are forgetting a lot of things, such as employers, bank rate, marketing cost, general cost and so on… Also 100% occupancy for the whole year isn’t realistic.

i know i didnt add up the other costs, because i wanted to focus just on the building itself and show in theory howmuch a room will cost (just to pay of the building) in 25 years. But you're right about all the other costs.

BTW, this would be the scale of the foundation area if its somewhat in a squareform.
http://img92.imageshack.us/img92/6302/foundationofhoteltehran3mp.jpg
(the footballfields are 100m long and 64m wide)

I think the same project in Dubai would have cost 70 million dollars instead of 700 million. Hahaha i just had to think about austin powers :P One million!!! Onehundred billion! :P

I think the same project in Dubai would have cost 70 million dollars instead of 700 million. Hahaha i just had to think about austin powers :P One million!!! Onehundred billion! :P

Why do you think its going to be so expensive in Iran?

Thats a good point... is 700m USD correct?? Maybe they meant Toman :P jks.... doesnt seem right but ya never know with these crazy ass Iranians

hummm.... thats like 1 third of the flower of the east in kish... I hope it will look like that otherwise its not worth it.

isnt 700 million a bit expensive?....

Which also means that its going to be a very well designed building :)
I cant wait to see a render tho :)

Actually, 700 million is actually a very suprising figure for a 64 story tower!

Lets first see if they approve it and then discuss the cost of it.

700million dollars is a surreal amount of money for just one 64-story hotel building. Burj dubai costs 800million dollars and that is going to be atleast a 150-story building.

I have looked around, and there is no other source for this news.

In Pakistan a huge hotel complex is going to be made for 315M USD. So I really thing the 700M is wrong! Maybe 70M
http://www.skyscrapercity.com/showthread.php?t=295363

$700M is a lot of money for a 64-storey building. Unless they are planning to build additional highrises to complement or to go with the hotel building. We will have to wait for a render.

As Rahmani pointed out about the Pakistani hotel, it costs around $400M with a 38-storey hotel, and a shopping mall, and three mixed-use towers. So when you come to think of $700M on a 64-storey building it seems a lot of money.

Unless, they have more buildings planned around it, OR.. have a VERY VERY grand design, which I hope they would! :D..

Here's a link to an updated thread of the Pakistani hotel to be built in Islamabad (new renders included), it looks very very urban!

http://www.skyscrapercity.com/showthread.php?t=368915

-CityofVillains

-Renders

[Thanks to Gilgamesh]

http://img291.imageshack.us/img291/5923/s420b1788aa564e20rg7.jpg

Which one do you all like?

My fave is the blue and orange one... very glitzy :D

I like the purple and green

Hey panj.. long time no see :)

Hey shugs... been really busy.. but i ve been reading the posts!

how are you?

Like the brown one best...

I like the blue/orange one aswell.

Hey shugs... been really busy.. but i ve been reading the posts!

how are you?
Ah not too bad mate... been busy too lol... u?

Good to see you posting again

I am well. Thanks.

WOW cool but really 700 M damn thats expensive!!!!

Any news on this one? got approved?