KHC signs deal for management of Fairmont

Prince Alwaleed bin Talal, chairman of Kingdom Holding Company, and others pictured during the signing of Business Gate's deal for Fairmont to manage a new luxury hotel in Riyadh. (AN photo)

By ARAB NEWS

RIYADH: Prince Alwaleed bin Talal, chairman of Kingdom Holding Company (KHC), attended the signing of Business Gate’s agreement for Fairmont to manage a new 287-room luxury hotel and 4,000 square meter convention center in Riyadh slated to open late 2012.

KHC holds a 35 percent stake in Fairmont Raffles Holdings International (FRHI).

The project is the second Fairmont in Saudi Arabia, as the first is the Makkah Clock Royal Tower, a Fairmont Hotel.

Upon his arrival, the prince was greeted by Salamah bin Melahi bin Saidan, chairman, Tatweer, Abdulrahman Al-Zamil, chairman of Business Gate, Mohamed Al-Dhabban, MD, Business Gate, Chris Cahill, president, Fairmont Hotels and Resorts, and Mohamed Arkobi, vice president and MD, Makkah Fairmont Raffles Hotels International.

Talal Almaiman, executive director for development and domestic investments, and Fahad Al-Ofi, executive assistant to the chairman, also attended the event.

Prince Alwaleed commented: “Our Saudi real estate and hotel projects are solid anchors for Kingdom Holding’s profitability.”

Located just north of the city, Fairmont Riyadh, Business Gate will be part of a new mixed-use development project comprising the hotel, a convention center and commercial real estate space that will house multinational corporations as well as regional companies.

The destination is a growing business area, with a number of new developments including the King Abdullah Financial District, Princess Nora University and Hospital, Riyadh Technology Park and Financial District, all projected to open over the next few years.

The hotel will feature 287 spacious guestrooms, including Fairmont Gold. Guests will enjoy a selection of dining venues as well as spa and fitness facilities.

The convention center comprises 4,000 square meters, 39,500 square foot of meeting and function space including two main ballrooms offering 1,500 square meters each.

In addition, groups will have access to a number of smaller conference and board rooms, some with private break-out spaces, complimented by a conference service team ready to manage any size event as befits Fairmont’s 100-year old history of hosting political figures, community and industry leaders alike for legendary events.

Fairmont Raffles is an integral component of KHC’s diverse hotel portfolio.

In 2010, KHC announced an $847 million transaction with Qatari Diar involving Fairmont Raffles Holdings International (FRHI).

Under the agreements, Voyager has acquired for a combination of cash and other consideration a 40 percent shareholding in FRHI.

In addition, QDHP has undertaken to provide FRHI with a number of future management contracts for hotels that will be branded either Fairmont, Raffles or Swissotel.

In 2006, KHC and Colony completed the acquisition of Fairmont Hotels & Resorts, which was combined with the Raffles Hotels Group.

Furthermore in 2010, Prince Alwaleed visited and toured the Makkah Clock Royal Tower, a Fairmont Hotel.

The Makkah Clock Royal Tower is the grandest and most prestigious hotel in the Middle East.

During his visit, the prince also toured the Raffles Makkah Palace, Swissotel Makkah (under construction) and Movenpick Hotel & Residence Hajar Tower Makkah.

Kingdom Holding has significant interests in the four hotel management companies.

The extensive project, called Abraj Al-Bait, features a five-star Fairmont property with over 1,000 guestrooms.

The complex also includes a selection of residential offerings as well as retail space, restaurants and extensive convention facilities.

Recently, KHC announced the development of the second Four Seasons Hotel Riyadh at “Kingdom Oasis” will be the centerpiece of a 3.8 million sq.m. residential development part of the of “Kingdom Riyadh Land” that is 16 million sq.m., will be offering unparalleled living community experience in Riyadh.

The objective of the Four Seasons in “Kingdom Oasis” is to provide the best guest experience and living environment.

The Oasis will complement the Four Seasons Riyadh, with a more relaxed, and entertaining environment.

Comments

SR. MARIAMA MICHELLE BURTON

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Salaam, This is an excellent article on several noteworthy projects that are solid, lucrative and definitely worth following up on.
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