Because Karl Lagerfeld is almost as decadent and weird as Dubai is, the two have decided to work together. The fashion designer will be designing 80 Chanel-brand "haute homes" for the ridiculously wealthy Arab Emirate, to be located on the wonderfully named-like something out of a 1970's Betty & Veronica comic-Fashion Island (well, Isla Moda). Fashion Island (a great place to spend a sexy weekend!) is situated within The World, perhaps Dubai's batshittiest real estate development. Well, maybe not. Lagerfeld is typically grandiloquent in his statement about the project:

The metamorphosis of art and beauty is my passion. The discovery of contemporary mediums of expression has allowed me to pursue my interest in art, beauty, architecture and progressive cultural exchange. Dubai is a fashion bud on the verge of blossoming into the next fashion hub of the world. The city is alive with culture and rich in personality, making it a perfect place for aesthetic, fashion and design to flourish. Isla Moda has tremendous potential to be the style icon of the future and I intend on driving the island to high style stardom.

Notice he doesn't mention anything about the abra full of dirhem that Dubai Infinity Holdings, the backers of the endeavor, most likely puttered up to his waterside villa.