Hotel101 Global (Hotel101) announced a significant joint venture partnership with Horizon Group, a leading regional conglomerate, to spearhead Hotel101’s ambitious expansion into the Kingdom of Saudi Arabia today. This strategic alliance aims to develop up to 10,000 standardized hotel rooms across the Kingdom, representing an estimated project value of US$2.5 billion (approximately Php137.5 billion).
The partnership is set to introduce Hotel101’s innovative “one room” concept, designed to deliver consistent, efficient, and value-driven accommodations globally. This model, characterized by identical rooms and an asset-light ‘condotel’ funding structure, offers significant advantages for both unit owners and guests, ensuring predictability and maximizing value.
Initial development plans identify five key locations for Hotel101 projects: Medina, Riyadh, Jeddah, Abha, and Alula, with Medina slated as the first site.
“We are profoundly inspired by the leadership of Saudi Arabia and their unwavering determination to realize their vision,” said Edgar “Injap” Sia II, Founder of Hotel101 Global. “We are confident that the Hotel101 concept will substantially contribute to the Kingdom’s Vision 2030 by adding crucial room keys, and further our global aspiration of achieving one million Hotel101 rooms worldwide.”
Hannah Yulo-Luccini, CEO of Hotel101, emphasized the strategic importance of the Saudi market. “Finding the right local partners to rapidly expand the Hotel101 brand in Saudi Arabia, one of our 25 identified initial expansion countries, is incredibly fortunate. We see tremendous opportunities given the high growth in both domestic and international tourism, making Saudi Arabia one of the most exciting markets for Hotel101 globally.”
Abdulrahman Sharbatly, CEO of Horizon Group, added, “By combining Hotel101’s rapid-build model with Horizon’s extensive local expertise, we are poised to add 10,000 quality, affordable rooms across the Kingdom. This initiative directly supports Vision 2030, fosters local job creation, and significantly expands accommodation options for pilgrims, tourists, and business travelers alike.”
Hotel101’s commitment to providing a standardized and predictable hotel offering, averaging 500 rooms per site, aligns perfectly with the evolving demands of the Saudi market. The Kingdom’s robust tourism sector, which welcomed over 100 million visitors (27 million international and 79 million domestic) in 2023 with a total spend of US$67 billion, underscores the immense opportunities for growth in hospitality and supporting services. This aligns with Saudi Arabia’s ambitious target of attracting over 150 million tourists by 2030.
The joint venture between Hotel101 Global and Horizon Group is a pivotal step in enhancing Saudi Arabia’s tourism infrastructure and contributing to the Kingdom’s transformational Vision 2030.
