Dubai-based Nakheel has revealed plans to develop a $160m (AED587.7m) resort at its Deira Islands master development. 

Nakheel will team up with Austrian hotel chain, Vienna House, to develop the 600-key beachfront resort. 

READ: Nakheel, Riu sign $105m deal for Deira Islands resort project

Vienna House Deira Beach will be developed following a letter of intent signed by Ali Rashid Lootah, chairman of Nakheel, with officials from U City PCL, the parent company of Vienna House. 

The resort will be Nakheel's third hospitality joint venture (JV) for Deira Islands, with the first two set to spur the development of 1,400 rooms with Spain's Riu Hotels and Resorts, and Thailand's Centara Hotels and Resorts. 

More than 3,600 keys are planned for the 15.3km2 Deira Islands through Nakheel's existing or upcoming JVs and hotel management agreements. 

Commenting on the latest agreement with Vienna House, Nakheel's Lootah said: "Our ongoing strategy is to be new, highly-reputable hospitality brands and concepts to Dubai as part of our commitment to supporting the government in realising its tourism vision.

"Vienna House at Deira Islands will be a shining example of how this strategy is coming to fruition." 

Rupert Simoner, chief executive officer of Vienna International Hotelmanagement, added: "Vienna House Deira Beach will offer quality leisure experiences that are designed to offer guests authentic moments and memories.

"There is nothing comparable in Dubai at present," Simoner added, according to Dubai Media Office.

Upon completion, Deira Islands will see the expansion of Dubai's coastline by 40km, of which 21km will be beachfront.