Friday 3 December 2021

Image courtesy: SPA

Saudi TDF, Ennismore to explore $400m hospitality fund

RIYADH, October 28, 2021

The Tourism Development Fund (TDF) and Ennismore have signed a Memorandum of Understanding (MoU) at the 5th Future Investment Initiative (FII) in Riyadh to explore the establishment of a $400 million (SR1.5 billion) fund that would bring Ennismore’s lifestyle brands to at least 12 destinations in Saudi Arabia.
Under the MoU, TDF would identify locations and provide financing options for projects throughout the Kingdom, while Ennismore would lead on programming, design and operations of the destinations, under its lifestyle brands, Saudi Press Agency SPA reported. 
Ennismore is a joint venture between Sharan Pasricha, Founder & Co-CEO, and Accor, creating a lifestyle company, including 87 operating properties globally, with an additional 141 hotels in the pipeline.
The development of lifestyle destinations – an undersupplied segment of the Saudi tourism industry – would align with the National Tourism Strategy’s 10 key destinations, including Riyadh, Jeddah, Eastern Province, Aseer, Al Ula, Taif, Madinah, Al-Baha, Hail and Al-Jouf, delivering around 2,000 keys.
TDF would continue to provide new opportunities for private sector investors in the Saudi tourism space, while aligning with wider sustainable tourism efforts throughout the Kingdom, prioritising the protection of nature and supporting local communities. TDF and Ennismore are committed to employing, training and developing Saudi talent, creating up to 3,000 jobs.
During a ceremony attended by Saudi Minister of Tourism and TDF Chairman Ahmed Al-Khatib, Accor Chairman and CEO Sébastien Bazin and TDF CEO Qusai Al-Fakhri signed the MoU in the presence of Pasricha and Gaurav Bhushan, Co-CEOs of Ennismore.
Al-Fakhri said: “This MoU marks a milestone for TDF as we continue to enable private sector investors to benefit from the opportunities offered by Saudi’s growing tourism sector. The fund would channel private sector investments to various areas of the Kingdom, enriching the visitor experience and enhancing the value of projects through globally renowned hospitality brands.
"These new lifestyle destinations would provide visitors and residents with entertainment and F&B offerings, as well as co-working spaces. They would also focus on ensuring the social, environmental, and economic sustainability of the areas they are located in.”
Bhushan and Pasricha added: “Saudi Arabia is a key growth market for Ennismore and we’re delighted that this partnership with TDF cements our commitment to the Kingdom’s tourism sector. By expanding our presence across Saudi Arabia, we’re proud to be supporting the creation of investment opportunities and jobs that will help enrich the tourism experience.”


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