The company behind Dubai’s man-made Palm islands is preparing to float $800 million (£384 million) of its luxury housing in what could be a prelude for a $60 billion listing of the entire business.The Times.

Nakheel, whose projects include the Palm Jumeirah island, wants to spin off about 50,000 beach-side apartments into a REIT that it will then float in Dubai’ and either London or Singapore.

Chris O’Donnell, chief executive of Nakheel, said: ‘We are actively working on Reit structures here as we have residential property on the balance sheet. It is ideal for us to create a Reit.’

A decision whether to have the dual listing in either Singapore or London will be made ‘within three to six months’, O’Donnell added, ready for a flotation and share offering that could raise up to $500 million.

A decision whether to float Nakheel or not is tied in with a $3.5bn Islamic-compliant debt financing the company issued last December.