The Hong Kong International Airport (HKIA) and Union Sky Holdings Limited announced on Tuesday that the second hotel at HKIA will be built with the first-phase investment of about US$1 billion (US$128.2 million).

According to a press release from the Airport Authority Hong Kong, the 1,000-room new five-star hotel will be developed in two phases and the first phase construction is expected to be completed in the second half of 2008.

Signing the agreement with HKIA in the new hotel initiative is the Union Sky Holdings Limited -- a joint venture company in which Shun Tak Holdings Limited controls a 70 percent stake and Dragages Hong Kong Limited holds the remaining 30 percent.

The new hotel, named The Hong Kong SkyCity Marriott Hotel, will be operated by the internationally renowned hotel management company -- Marriott International Inc, said the press release.

The second airport hotel will be constructed on a 2.7-hectare site along the waterfront to the east of the passenger terminal.

(Xinhua News Agency August 18, 2006)