(CNN) Firefighters battled a blaze that engulfed a luxury hotel in Dubai Thursday night while a spectacular New Year's fireworks display lit up the night sky nearby. 
 
 Orange tentacles of flames engulfed a large section of the high-rise Address Downtown Dubai hotel soon after the fire started around 9:30 p.m. (12:30 p.m. ET). Witnesses said they heard explosions as the fire raged. 
 
 Hours later, dark plumes of smoke billowed from the building as the fire still appeared to be searing several stories. 
 
 Bruce Szczepanski, who watched from the balcony of a nearby hotel, said he could still hear parts of the building crashing to the ground more than nine hours after the blaze began. 
 
 "There are huge flames, and you can hear the structure falling and the thuds," he said. 
 
 Fire still burning @ Address Hotel pic.twitter.com/NC1lrWxQjY — Bruce Szczepanski (@b_szczepanski) January 1, 2016 
 
 A source told CNN the fire broke out in a residence on the building's 20th floor when curtains caught on fire. 
 
 Jaqueline Hurtado, a CNN en Español correspondent, was at a restaurant in the area when she heard an explosion, "like a loud pop." She thought the fireworks display may have started early. 
 
 "Then suddenly you saw people screaming and running," she said. 
 
 Photos: Dubai hotel fire Photos: Dubai hotel fire Firefighters continue to work at the Address hotel in downtown Dubai on Friday, January 1. A massive fire broke out Thursday night at the high-end hotel in the United Arab Emirates' most populous city. Hide Caption 1 of 11 Photos: Dubai hotel fire Fireworks light up the night sky near the Address hotel. Despite the fire that started hours earlier, the highly anticipated New Year's Eve festivities went ahead as planned. Hide Caption 2 of 11 Photos: Dubai hotel fire More than a dozen people sustained minor injuries, according to the Twitter account of the Dubai government's media office. Hide Caption 3 of 11 Photos: Dubai hotel fire People watch as flames rip through the hotel Thursday night. Hide Caption 4 of 11 Photos: Dubai hotel fire The incident occurred near the Burj Khalifa, the world's tallest skyscraper. Hide Caption 5 of 11 Photos: Dubai hotel fire The fire started around 9:30 p.m., witnesses said. Hide Caption 6 of 11 Photos: Dubai hotel fire People were gathering to watch New Year's Eve celebrations when the hotel caught on fire. Hide Caption 7 of 11 Photos: Dubai hotel fire Early reports said the fire started on the 20th floor. Hide Caption 8 of 11 Photos: Dubai hotel fire It was not immediately clear what caused the fire. Hide Caption 9 of 11 Photos: Dubai hotel fire The fire broke out as governments around the world were on high alert for possible terrorist attacks tied to New Year's Eve celebrations, but there was no immediate indication that terrorism was to blame for the blaze. Hide Caption 10 of 11 Photos: Dubai hotel fire The Address hotel describes itself as "the premier five-star hotel" in Dubai. Hide Caption 11 of 11 
 
 The nearby hotel, they realized, was on fire. Soon authorities evacuated them from the area. 
 
 "The fire was just going so fast," she said. "It just started burning real quick." 
 
 At least 16 people were injured, the Dubai government's media office said Thursday night on Twitter. 
 
 New Year's fireworks show goes on 
 
 But the highly anticipated New Year's Eve festivities in the United Arab Emirates' most populous city -- including what was billed as one of the world's largest fireworks displays -- went ahead as planned. Cheering crowds of onlookers watched as bursts of color filled the sky. 
 
 Just a few blocks away, the scene was dramatically different. 
 
 CNN Map 
 
 At the Address hotel, which describes itself as "the premier five-star hotel" in Dubai, flames appeared to be devouring growing portions of the high-rise, even as government officials said the blaze was largely contained. 
 
 Maha Abouelnebin saw what appeared to be a low flame while she was having dinner with her family at the hotel. 
 
 Then she realized it was something far more dangerous: a full-blown blaze. 
 
 "Immediately we decided we need to get out of there, because we saw debris falling from the building," she told CNN. 
 
 Staff efficiently evacuated the hotel, she said. "They got us out calmly... quickly. We were impressed with how easy we got out of there." 
 
 Fire sends people running 
 
 Soon Hong, who lives in an apartment across from the mall near the Address, said he was setting up his camera near a window to capture the fireworks when he heard something that drew his attention. 
 
 "I looked up, and the entire building was in flames," he said. "It took seconds." 
 
 Szczepanski was also setting up a camera to take pictures of the fireworks when he saw the blaze break out. 
 
 "All of the sudden, you saw the flames, and everyone was focused, running to try to get a better vantage point," he said. 
 
 Once the fireworks started, he said, he didn't know where to look. 
 
 Address Hotel Facts Years of construction -- 2005 to 2008 Opened -- October 2008 No. of floors -- 63 Height -- 991 feet No. of rooms -- 171 No. of suites -- 25 No. of residences -- 626 Restaurants -- 7 
 
 "I was torn; do I watch the fireworks, or do I continue to watch the fire?" he said. 
 
 'Absolutely horrific' 
 
 The fire broke out as governments around the world were on high alert for possible terrorist attacks tied to New Year's Eve celebrations, but there was no immediate indication that terrorism was to blame for the blaze. 
 
 Jonathan Gilliam, a CNN law-enforcement analyst, said he was surprised by how fast the fire spread. 
 
 "This is looking absolutely horrific," he said. "This is spreading very rapidly." 
 
 Dubai is the most populous city in the United Arab Emirates 
 
 On its website, the hotel says that its "spacious and bright rooms offer a dynamic sense of style and a striking design that appeals to all tastes across the international travel market." 
 
 "Dubai's social scene happens here from our stylish rooms to our unique choice of modern outlets, ideal for everything from a social cup of coffee to our fabulous brunches, exquisite dinners and the best late night venues," the hotel website says. 
 
 The government's media office said guests evacuated from the hotel would be provided with new accommodations. ||||| DUBAI, United Arab Emirates (AP) — A 63-story luxury hotel was engulfed in flames even as a massive New Year's fireworks display kicked off at the world's tallest skyscraper nearby, while tens of thousands of people whistled and cheered at early Friday's pyrotechnics. 
 
 Smoke and flames pouring from a residential building, which also contains the Address Downtown Hotel, in Dubai, United Arab Emirates, Thursday evening, Dec. 31, 2015. (AP Photo/Sunday Alamba) (Associated Press) 
 
 Smoke and flames pouring from a residential building, which also contains the Address Downtown Hotel, in Dubai, United Arab Emirates, Thursday evening, Dec. 31, 2015. (AP Photo/Sunday Alamba) (Associated Press) 
 
 Smoke and flames pouring from a residential building, centre, which also contains the Address Downtown Hotel, near the Burj Khalifa, centre left, in Dubai, United Arab Emirates, Thursday evening, Dec.... (Associated Press) 
 
 Smoke and flames pouring from a residential building, which also contains the Address Downtown Hotel, in Dubai, United Arab Emirates, Thursday evening, Dec. 31, 2015. (AP Photo/Sunday Alamba) (Associated Press) 
 
 Smoke and flames pouring from a residential building, which also contains the Address Downtown Hotel, in Dubai, United Arab Emirates, Thursday evening, Dec. 31, 2015. (AP Photo/Sunday Alamba) (Associated Press) 
 
 A fire runs up some 20 stories of a building in Dubai, United Arab Emirates, Thursday, Dec. 31, 2015. The fire broke out Thursday in a residential building near Dubai's massive New Year's Eve fireworks... (Associated Press) 
 
 This image taken from AP video shows smoke and flames pouring from a residential building, which also contains the Address Downtown Hotel, in Dubai, United Arab Emirates, Thursday evening, Dec. 31, 2015.... (Associated Press) 
 
 Smoke and flames pouring from a residential building, right, which also contains the Address Downtown Hotel, near the Burj Khalifa, centre, in Dubai, United Arab Emirates, Thursday evening, Dec. 31, 2015.... (Associated Press) 
 
 This image taken from AP video shows smoke and flames pouring from a residential building, which also contains the Address Downtown Hotel, in Dubai, United Arab Emirates, Thursday evening, Dec. 31, 2015.... (Associated Press) 
 
 Just minutes before the fireworks began in the Gulf emirate of Dubai, large explosions could be heard from inside the burning building, which was cloaked in thick black smoke. It was not clear what caused the blasts. 
 
 At least 14 people were slightly injured, and one person suffered a heart attack from the smoke and over-crowding during an evacuation late Thursday, according to the Dubai Media Office. The statement said another person was moderately injured, without elaborating further. No children were among those injured, it said. 
 
 Around 1 million people had been expected to gather around the Burj Khalifa skyscraper to watch the fireworks. Dubai's economy depends heavily on tourism, and New Year's is one of the busiest seasons, drawing people from around the world to watch the fireworks that the emirate puts on at the world's tallest tower, as well as the sail-shaped Burj Al Arab and over a man-made palm-shaped island. 
 
 Organizers had installed 400,000 LED lights on the Burj Khalifa and used some 1.6 tons of fireworks for the seven-minute extravaganza. Two years ago on New Year's, Dubai broke the world record for the largest fireworks display. 
 
 The fire engulfed the Address Downtown, one of the most upscale hotels and residences in Dubai, which was likely to have been packed with people because of its clear view of the 828-meter (905-yard) tall Burj Khalifa. 
 
 The hotel towers over the Souq Al Bahar, a popular shopping area with walkways that connect to the Burj Khalifa and the Middle East's largest mall, the Dubai Mall. 
 
 It was not immediately clear what caused the fire, which ran up the 63-story building. The Address is a 991 foot-tall (302-meter) skyscraper that has 626 luxury apartments and 196 hotel rooms, according to Skyscraper Center, which tracks such buildings. 
 
 Dubai's Media Office wrote on its official Twitter account that four teams of firefighters were working to put out the blaze. They said the fire appears to have originated on a 20th floor terrace. 
 
 The fire broke out about two hours before the midnight fireworks display was set to begin. To manage the crowds, Dubai police had closed off some roads and the metro before the fire broke out. 
 
 Nearly an hour after the fire began, some onlookers began to leave while others stood, pressed against crowd barricades, watching the blaze. Among them was Chris Browne, a tourist from London, who watched with her husband, Stephen, standing behind her. They said they hoped no one was injured. 
 
 "It's pretty scary stuff," she said. 
 
 Standing nearby, Stuart O'Donnell, a British intensive care nurse who works in Dubai, said he was worried for those inside the building as it was in a prime location to watch the fireworks display. 
 
 "You feel sad for the people inside... It spread so quickly when it started," he said. 
 
 He and others in the crowd wondered what had started the blaze. "I do feel suspicious of when a fire breaks out on New Year's Eve," he said. 
 
 The Dubai Media Office said that Dubai's tourism department would provide guests evacuated from the building with alternative hotel accommodation. 
 
 After the fireworks show, Girlie Omilda, a Filipina who works in the aviation industry in Dubai, said she was glad to have seen the fireworks, even as the tower continued to burn. She too was concerned about threats from extremists like the Islamic State group. She said Dubai's large expatriate, non-Muslim population made the city a tempting target. 
 
 "Sometimes it makes me feel unsafe," she said. 
 
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 Associated Press writers Aya Batrawy in Dubai, United Arab Emirates, and Joseph Krauss in Cairo contributed to this report. 
 
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 Follow Jon Gambrell on Twitter at www.twitter.com/jongambrellap
– Fire broke out Thursday in a hotel near the world's tallest skyscraper in Dubai, just ahead of a massive New Year's fireworks display. It was not immediately clear what caused the fire, which ran up at least 20 stories of the building near the landmark Burj Khalifa, which is 905 yards tall. CNN identifies the burning building as the "high-end" Address hotel. Debris rained down from the hotel as firetrucks raced to the scene. At least 14 people were "slightly injured," the AP reports, and one person had a heart attack. The fire broke out about two hours before midnight, when the nearby fireworks display was set to begin. Tens of thousands of people had gathered in the area ahead of the extravaganza, and officials in the United Arab Emirates city said the show would go on as scheduled.