These particular balconies are on the landward side of the Corniche, the road that runs along the sea front, and overlook the Mutrah harbour. The colored lights strung along the balconies were set up in preparation for the 30th Renaissance Day, or 30 years of rule by Sultan Qaboos bin Said, which was celebrated on 18 November, 2000. To the left of the picture is the the market and the entrance to the old city.
The Christmas letter that accompanied the card explains more about my trip to Oman.
section of my web site has more pictures from my other trips.