Kuala Lumpur will be the first Asian city to have a Harrods Hotel, with the announcement of a US$600 million development.

Two popular local restaurants in downtown KL will make way for a Harrods Hotel and Residence, a new initiative by new owners Qatar Holding LLC, a unit of the Qatar Investment Authority.

The Tradewinds Corp owns the franchise in Malaysia for the Harrods brand of products.

Qatar Holding vice-chairman Dr Hussain Ali Al-abdulla said the group's objective was to open hotels in London, Sardinia, and KL.

"We have done the due diligence and will execute the projects," said Dr Hussain. "We are building Harrods hotels, Harrods apartment and retail units."

Construction of the Malaysian development was planned to begin next year, and doors could open as early as 2016. The development would comprise around 300 rooms and a residential component as well as retail. Dr Hussain said the residential component would be priced above competitors such as the Pavilion Banyan Tree and Banyan Tree Residences.