American hotel and leisure company Starwood Hotels and Resorts Worldwide is taking over from Kempinski to operate the two hotel towers at Bahrain City Centre.

Highly placed sources confirmed Starwood's two leading brands, Le Meridien and Sheraton, will manage

the two-tower hotel currently housing the Kempinski Grand and Ixir Hotel.

The GDN reported last week that Dubai-based Majid Al Futtaim Group, the owner and operator of

Bahrain City Centre and Kempinski, had decided to end their management agreement for the hotel.

The decision was taken as Kempinski has just one brand whereas Majid Al Futtaim wanted to adopt a

two distinct brand strategy.

Kempinski said it will continue to manage the hotel up until midnight on June 30 when it will formally

hand over the property to Majid Al Futtaim.

In Dubai, which is the only other location besides Bahrain where the Majid Al Futtaim Group has hotels

connected to or close to its shopping malls and within its master-planned communities, the multi-brand strategy is already in place.

There, Majid Al Futtaim has hotel management agreements with Starwood and Accor Group.

Majid Al Futtaim owns and operates 16 shopping malls with more than one million sqm of gross

leasable area), 56 hypermarkets and 53 supermarkets, 11 hotels, nine movie theatre locations with 92 screens, 16 Magic Planet sites and 45 fashion stores. Starwood's other brands are St Regis, The Luxury Collection, W, Westin, Four Points by Sheraton, Aloft and Element.