Abu Dhabi-based developer Manazel has released a statement saying it is considering a AED3bn ($817m) tourism and hospitality project between Abu Dhabi and Dubai.

The chairman, Mohammed al-Qubaisi, said in a company statement on the Abu Dhabi Securities Exchange (ADX) that the developer was conducting a study into the project, described as “a new concept in hospitality”.

The 700,000-square-metre project is part of Manazel’s strategy to diversify its sources of revenue and income in the coming five years, said Al-Qubaisi, with tourism and healthcare identified as key growth sectors for the company.

In May, the company also revealed plans to increase investment in the healthcare sector. In a press release, the company stated it is earmarking AED1.4bn-AED1.6bn for the Manazel medical complex project in Abu Dhabi, with work expected to start in the final quarter of 2016.

Manazel has also posted a 41 per cent increase in gross profit for 2014, the firm announced during its annual general meeting on 18 May.

Despite this, the firm’s net profits contracted to AED152m, compared with AED189m in 2013.