Al Hokair Group (SAU) Signs an Exclusive Agreement with IHG (US)
07 May 2018 - Al Hokair Group has now signed a Master Development Agreement (MDA) with InterContinental Hotels Group (IHG), and this agreement will help to usher in the debut of the world-famous Holiday Inn Express brand within Saudi Arabia.
This rollout out of the new brand in the country will consist of 10 Holiday Inn Express hotels, which will be completed over the course of the next 15 years. This is a significant development, one that experts say will likely compliment IHG’s robust existing pipeline in the Kingdom and thereby cement its position as one of the leading operators in Saudi Arabia. It will also help to cohesively consolidate its partnership with the Al Hokair Group brand itself.
Al Hokair Group, Holiday Inn, and Saudi Arabia Al Hokair Group is currently operating a total of six Holiday Inn hotels within Saudi Arabia. As part of the new exclusive agreement that has been signed, the first Holiday Inn Express will actually be a 200-room hotel that will be based in Jeddah. The opening of this property will be closely followed by the openings of other Holiday Inn Express hotels across the country of Saudi Arabia.
All told, experts say to expect to see 10 hotels that will be operated under long-term franchise agreements in Saudi Arabia.
What Stakeholders Are Saying Obviously, the parties involved are excited by the implications of this agreement and what it can hold for the future of the hospitality industry in the country.
Sami al Hokair, who is the Managing Director of Al Hokair Group, said, “We are very excited to expand our footprint in the mid-market segment where we see enormous potential for growth with a trusted global hospitality leader such as IHG. Holiday Inn Express is a world-renowned brand offering great value to the guests and the signing of this strategic agreement will open unprecedented opportunities for us in the mid-market segment. This demonstrates our commitment to Vision 2030 and the development of the hospitality sector which is a key growth driver in the Kingdom. We value our partnership with IHG and look forward to working with them on this ambitious project.”
While Pascal Gauvin, who is Managing Director, India, Middle East and Africa, IHG said, “IHG has a strong legacy in Saudi Arabia, which is a key market for us in the Middle East. We are proud to once again collaborate with our esteemed long-term partner Al Hokair Group, to bring the Holiday Inn Express brand to the country, and further expand our offering to domestic and international travellers, alike. The tourism landscape in Saudi Arabia is rapidly changing and we are excited to leverage the huge growth opportunities that Saudi Vision 2030 presents, particularly given that one of the biggest pillars of the plan is to bring more tourism into the country.”