Gulf Construction Online - KEC unit to develop 5,000 hotel rooms in Madinah

Saudi Focus

Islamic World District Project spans a 900,000-sq-m area.

KEC unit to develop 5,000 hotel rooms in Madinah

01 November 2024

Knowledge Economic City Company (KEC) has announced that one of its key subsidiaries, Al Gharaa International Real Estate Development Company, has entered into deals with global hospitality groups – Hilton, Marriott International, InterContinental Hotel Group and Radisson – as well as Southeast Asia’s largest privately-owned hotel management group Archipelago to develop a range of hotels within the first phase of its ambitious Islamic World District Project.

These hotels will add a total of 5,142 keys to the mega Madinah development, said KEC in its filing to Saudi bourse Tadawul. These hotels will be developed through a real estate investment fund being established in the southern part of the city.

Spanning a 900,000-sq-m area, the Islamic World District project will offer residential and hospitality services to enrich the religious and cultural experiences of Umrah and Hajj pilgrims as well as visitors to Madinah. It will be directly connected to the main mosque, the Haramain High Speed Railway and the Prince Mohammad bin Abdulaziz International Airport in Madinah.

Upon completion, the project will boast around 18,000 hotel rooms.

According to KEC, 1,415 hotel rooms will be developed by Hilton. The hospitality giant will manage and operate 732 keys under the Hilton Garden Inn brand, 400 under the Hampton by Hilton brand and 283 suites under the Home2 Suites by Hilton brand for a 15-year period.

On the Marriott deal, KEC said the US chain will manage and operate three hotels with 1,264 keys for a 20-year period. Of these, 456 will be managed under the Courtyard by Marriott brand, 558 under Four Points by Sheraton and 250 under the Residence Inn by Marriott brand.

On the InterContinental deal, the Knowledge Economic City said the hospitality major will manage and operate three hotels with 1,057 hotel keys for a 15-year period. Of these, 350 keys are under the Holiday Inn brand, 505 under Holiday Inn Express brand and 202 suites under the Holiday Inn Suites brand.

On the deal with Radisson Hospitality, KEC said the group will manage and operate two hotels with a 757 keys for a 15-year period. Of thee, 611 will be managed under the Park Inn by Radisson brand and 146 serviced apartments under the Park Inn by Radisson brand.

On the deal with the Indonesian group, KEC said Archipelago will manage and operate two hotels comprising 649 hotel keys for a 10-year period. Of these 519 hotel keys will be managed under the Aston Hotel brand and 130 hotel apartments under the Aston Residence brand.