Bangladesh's Unique Group, which owns Westin Dhaka, has signed a deal with Starwood Hotels and Resorts to set up two more five-star hotels in Dhaka and a third in Chittagong.

Two hotels to come up in downtown Dhaka are Le Meridien and The Westin Dhaka 2. The one in Chittagong will be the first five-star hotel in the port town. Construction will be completed by 2012.

The initial investment will be taka two billion ($290 million), The Daily Star said Tuesday.

Industry experts said Dhaka now has around 1,250 five-star rooms. The hotels reach full occupancy only in winter, and an average occupancy rate of around 75 percent can easily make the business profitable.