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SAR 80 billion projects in Makkah creating new opportunities in Kingdom’s hospitality sector


 

The Saudi Arabian government continues to invest billions of Riyals into various infrastructure and hospitality related projects in the Kingdom which is facilitating a construction boom, while also stimulating growth of the country’s hospitality industry, especially tourism for religious purposes. A total of 100 towers worth SAR 18 billion are currently under construction near the Grand Mosque in Makkah. Once all the projects are completed, the city will see the addition of over 24,480 hotel rooms, apart from other infrastructure facilities. On the other hand, the King Abdul Aziz International Airport in Jeddah, the closest airport to Makkah, is undergoing a capacity expansion from 12 million to 14 million passengers per year. Additionally, SAR 62 billion is being invested for the Makkah Metro project to cater to the requirements of the steadily increasing number of tourists visiting Saudi Arabia for religious reasons. 

This and various other infrastructure projects in the Kingdom are in turn creating new opportunities in the hospitality industry, especially for many private sector players who are involved in several hospitality-related construction projects. Among various major developments taking shape in Makkah is the Jabal Al Kaaba project which will deliver 1743 hotel rooms during the second quarter of 2013 through the “Anjum Hotel” alone, which is rapidly nearing completion and represents 7.3 per cent of the total new hotel accommodation capacity that will be offered in Makkah. It is worth mentioning that upon completion of the whole project an additional 8,500 rooms will be added, through the cluster of hotels under the “Anjum Hotels” brand which represents 34.7 per cent of the total capacity. Currently the entire structure of the “Anjum” hotel is complete, with finishing and interior works set to begin shortly. The company behind the Jabal Al Kaaba project, Abdul Latif Jameel Real Estate Investment Co (ALJREIC) will be selecting the interiors of the hotel to reflect the Saudi Hijazi culture, while also complementing the overall elegance and international standards of the hotel. 

Yousef Abdul Latif Jameel, Chairman, ALJREIC, said: “Our current focus is on the timely completion of the Anjum Hotel, which is the flagship hotel of our ‘Anjum Hotels’ brand. A hotel of this scale will be a welcome addition to the holy city of Makkah, which is set to receive more than 13 million Muslim travelers going on Hajj and Ummrah by 2019, up from 3.8 million during the last two years. We are also keen on complementing the government’s development plans throughout the country and key projects such as the various construction projects, the expansion of Jeddah International Airport and the Makkah Metro, among others. We also endorse the directions of the Saudi Commission for Travel and Antiquities (SCTA) as well as the wise directions of the Custodian of the two Holy Mosques, H.R.H. King Abdullah.” 

Mahmoud Mokhtar, Chief Operating Officer of Abdul Latif Jameel Real Estate Investment Co., said: “Every detail of the construction and the interior design of the hotel are closely monitored by the management to ensure that the project is on schedule and also to meet the highest standards of quality.  The guestrooms, lobby, reception and concierge areas as well as other hotel facilities are almost complete. In the coming few months we will be putting final touches to the hotel ahead of its opening in the second quarter of next year.” 

As per the construction schedule, “Anjum” Hotel, the first phase of the “Jabal Al Kaaba” project, was supposed to reach 91.89 per cent completion in August 2012, while it actually reached 90.73 per cent, which clearly shows that the project is progressing at an excellent pace, with just 9.27 per cent left to be completed over the next 6 months. The ongoing completion process achieved a rise from 84.76% to 90.73% in a course of 5 months only, from April to August 2012. It is also worth noting that the scale of manpower for the hotel was increased from 302 to 932 in less than 9 months. 

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SAR 80 billion projects in Makkah creating new opportunities in Kingdom’s hospitality sector
SAR 80 billion projects in Makkah creating new opportunities in Kingdom’s hospitality sector

24,480 new hotel rooms to be ready in Makkah in next few years; construction of 1,743-room Anjum Hotel in Makkah progressing as per schedule (21/10/2012)
SAUDI INBOUND AND OUTBOUND TOURISM CONTINUES TO SURGE
SAUDI INBOUND AND OUTBOUND TOURISM CONTINUES TO SURGE

Hyatt Hotels Expands Presence in Kingdom with Seven Hotels under Development (10/10/2012)
Best Western opens first hotel in Saudi capital
Best Western opens first hotel in Saudi capital

www.hotelcircleasia.com. Best Western International has launched its first hotel, the 86-room Best Western Orchid Hotel, in Riyadh, the capital of the Kingdom of Saudi Arabia. (06/08/2012)
Tourism accounts for 3.2 per cent of Saudi GDP with total value of SAR 59.5 billion
Tourism accounts for 3.2 per cent of Saudi GDP with total value of SAR 59.5 billion

Yousef Abdul Latif Jameel: “We are enthusiastic about the robust growth outlook of KSA’s tourism industry, which registered an increase of 6.8 per cent” (03/08/2012)
Elaf Group’s opening of two new hotels in Al Madina Al Munawara
Elaf Group’s opening of two new hotels in Al Madina Al Munawara

KSA government’s continuing efforts towards strengthening tourism industry is commendable, says Elaf’s Bin Mafouz (07/07/2012)
Limah Implements Wayfinding Process in MADINAH Al Monawara
Limah Implements Wayfinding Process in MADINAH Al Monawara

Residents and tourists in the Holy City of Madinah will soon be able to find their way around the ancient city with ease, thanks to a Wayfinding master plan developed by Limah Design Consultants. (21/06/2012)
Rosewood Corniche hosts children's art exhibition to raise awarness of Autism
Rosewood Corniche hosts children's art exhibition to raise awarness of Autism

Event marks new partnership with Jeddah Autism Centre (31/05/2012)
WOMEN PAMPERED AT ROSEWOOD CORNICHE
WOMEN PAMPERED AT ROSEWOOD CORNICHE

Luxurious Jeddah hotel launches ‘Ladies Night’ for female guests (16/05/2012)
Hyatt Updates Plans for Saudi Arabia at ATM Dubai
Hyatt Updates Plans for Saudi Arabia at ATM Dubai

Leading Global Hotelier Uses New Worldwide Sales Office in Kingdom as Platform to Reach Burgeoning Premium Travel Class in Its Largest Market (30/04/2012)
Mövenpick Beach Resort Al Khobar wins Best Specialized Resort Award
Mövenpick Beach Resort Al Khobar wins Best Specialized Resort Award

Mövenpick Beach Resort Al Khobar has been recognized as the ‘Best Specialized Resort’ 2011 in the Kingdom of Saudi Arabia, at the Saudi Excellence in Tourism Awards. (22/04/2012)
Hyatt Updates Plans for Saudi Arabia and Malaysia at ATM Dubai
Hyatt Updates Plans for Saudi Arabia and Malaysia at ATM Dubai

New Grand Hyatt Kuala Lumpur Expected to Pull Heavily from Gulf States (03/04/2012)
SAUDI ARABIA HA’IL DESERT CHALLENGE 2012
SAUDI ARABIA HA’IL DESERT CHALLENGE 2012

2012 SAUDI ARABIA HA’IL DESERT CHALLENGE, GETS UNDERWAY ON WEDNESDAY AFTERNOON (20/03/2012)
CHILDS PLAY AT ROSEWOOD CORNICHE
CHILDS PLAY AT ROSEWOOD CORNICHE

Luxurious Jeddah hotel launches ‘Rose Buds’ programme for young guests (24/02/2012)
SAUDI ARABIAN MOTOR FEDERATION ANNOUNCES
SAUDI ARABIAN MOTOR FEDERATION ANNOUNCES

The Saudi Arabian Motor Federation (SAMF) has now finalised the dates and route format and will run the FIA-sanctioned Ha’il Desert Challenge in the north-central region of the Kingdom from Mar (17/02/2012)
Hyatt Announces Plans For Three New Hotels In The Kingdom Of Saudi Arabia
Hyatt Announces Plans For Three New Hotels In The Kingdom Of Saudi Arabia

New Hotels Will Mark Country’s First Grand Hyatt and Second Park Hyatt; Hyatt Regency Jeddah is Country’s Second Hyatt Regency Under Development (06/02/2012)
Hyatt Demonstrates Commitment to Saudi Arabia
Hyatt Demonstrates Commitment to Saudi Arabia

Appointment of Hyatt Representatives on the Ground in the Kingdom (02/02/2012)
Regional Travellers Choose Hyatt Properties for Preferred Hotel Stays
Regional Travellers Choose Hyatt Properties for Preferred Hotel Stays

Hyatt Properties’ Accomplishments Marked by Succession of Award Wins in 2011 (05/01/2012)

Showing 17 news articles
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