Guggenheim to Build Museum in Abu Dhabi

Building architect Frank Gehry, right, is joined by his wife Berta, as they arrive for a grand opening concert gala at the new Walt Disney Concert Hall in Los Angeles, Thursday, Oct. 23, 2003. The Guggenheim Foundation announced Saturday July 8, 2006 it had commissioned American architect Frank Gehry to build a new branch of the Guggenheim modern and contemporary art museum in this Gulf Emirate. The Guggenheim Abu Dhabi is planned at 323,000 square feet, larger than any of the existing Guggenheim museums. (AP Photo/Kevork Djansezian) (Kevork Djansezian - AP)

Still, one of the first dilemmas facing Guggenheim Abu Dhabi, dubbed GAD, is whether to exhibit nude works that might offend conservative Muslims. Krens said the topic had yet to be discussed.

"This is a minor issue," he said. "Our objective is not to be confrontational, but to engage in a dialogue."

The Guggenheim hopes to repeat its success in Bilbao, where Gehry's museum became the centerpiece of a renaissance in the once-decrepit port city and a huge tourist draw, with 80 percent of its visitors coming from outside Spain.

Abu Dhabi, though wealthy, is in a similar position as Bilbao was, with little to recommend it as a cultural destination, Krens said.

Positioned between Europe and Asia, the Emirates is a luxury travel hub and a top draw for second-home buyers from Europe and South Asia, yet most tourists opt for the five-star hotels and beach resorts of Dubai.

"I have faith in Frank," said Krens, a frequent visitor to the Emirates, where he rode in a December motorcycle rally with actors Laurence Fishburne, Jeremy Irons and Dennis Hopper. Hopper, who lives in a Gehry-designed house, also attended Saturday's announcement.

Krens said the foundation set out to establish a museum in the "underserved" Middle East and that 130 cities expressed interest. Yet others were discouraged by the estimated $400 million cost of building a museum and collection or, like Dubai, couldn't match the scope or sophistication of Abu Dhabi's cultural development plans.

The crown prince envisions the Guggenheim as one of the anchors of a $27 billion "upscale cultural district" on Saadiyat Island that would seek to draw 3 million tourists by 2015.

Guggenheim Abu Dhabi would cover 322,920 square feet, making it a fourth larger than Bilbao, currently the foundation's biggest branch. But while the design is up in the air, one thing is certain: Abu Dhabi has plenty of cash to pull it off. It harbors 9 percent of the world's proven oil reserves and 4 percent of its gas reserves.

"We don't see financial investment as a major obstacle," Sheik Mohammed said.