The two label legends open hotels in Dubai next year, with both striving to outstrut the other for style and panache.

Armani will be first on the catwalk, opening in August - not just any hotel, but one spread over eight floors of the world's tallest building now under construction in Dubai.

But Versace is undaunted, saying its waterfront palace could boast the world's first chilled beach - by pumping cold air through pipes under the sand.

The clash of the fashion giants will be a feather in Dubai's brash and glitzy cap, with the Palazzo Versace opening its door just four months after Armani, in December 2009.

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It is Armani's first foray into hotels, and is the latest fashion label to showcase its style - Bulgari has hotels in Milan and Bali, while Versace has a hotel on Australia's Gold Coast.

The Dubai hotel will feature Versace's collection of design drawings, with furniture and fittings approved by his daughter, Donatella. "We even had to build a prototype of the room," said Anne Jameson, group general manager of hotel developers Sunland.

"Everything is personally selected. Look at the cost of the linen. And if you drink a cup of coffee, it won't just be in a black, yellow or white cup, it will be a special piece of porcelain designed for Versace."

"For fashion houses, it is an opportunity to expose the brand – anything from sunglasses to perfume to furniture."

Soheil Abedian, founder of Sunland, said he was serious about the chilled beach. "The principle is simple - it's the same as it is in Europe with underfloor heating.

"Because of the temperatures in Dubai, we will already be chilling the pool - now we are working on cooling the sand. It's still in the design stage, but we have top customers and to have this will add an extra element of excitement."

Jameson revealed that Sunland and Versace have plans for 15 hotels in total, with New York, London, Rome and Paris all being mooted – although more resort hotels will also be built.

The Dubai property will have 213 rooms (and 169 condiminuims for sale, from US$2m each). Room prices are expected to start at $600.

Meanwhile, Armani is also looking to build rapidly, with Marrakesh and Milan to follow Dubai, and plans for London, New York and Shanghai.

Each will be designed "to the finest detail" by Armani himself, he says, with furniture from the Armani/Casa collection "together with precious materials and sophisticated finishes."

It will open in the Burj Dubai, in the downtown area of the city, with 160 rooms – and also with 144 flats for sale. Prices have not been disclosed.

But while the hotel entrance is on the first floor, some of the rooms will be on the 39th floor of the tower which, at 592m, is already the tallest building in the world – with work continuing.

The outrageous nature of Dubai's latest hotel showcases comes in a week that the Emirate announced the world's biggest theme park, which includes 11 different theme parks in one location, Dubailand. The combined landspace will be bigger than that of Singapore.

Legoland was confirmed as the latest theme park, alongside Universal, Marvel, Dreamworks and others – including Bob the Builder and Thomas the Tank Engine attractions.

Work on other elements of Dubailand – including golf courses, sports stadiums and polo ptitches – has already been completed. Now it will open a theme park every six months from 2009 and build other attractions – including a wheel bigger than the London Eye, a full size replica of the Eiffel Tower and the first golf course designed by Tiger Woods.

Dubai is massively acclerating its tourism growth, with plans to double visitor numbers within seven years.

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