Headlining hotel development is the Jabal Omar Development Company’s 26-hotel, multiphase project being built on 24 million square feet of land.
U.S. firm Equinox Hospitality is overseeing the project, which has a development cost estimated between $6 billion to $7 billion. Phase one, comprising 2,900 rooms, is expected to open during the second half of 2013. An additional 21 hotels will roll out in four subsequent phases, with openings expected in the next 24 to 30 months.
Each hotel will be branded. Hilton Worldwide, Hyatt Hotels Corporation and Marriott International already have signed on to manage nine of the 26 properties. The agreements for the remaining hotels are under negotiation and likely to be concluded in the next six months, according to Firoz Moti, GM of Equinox Hospitality Group.
“This is the largest mixed-use development project in the world today, comprising retail and residential components as well,” he said. “The initiatives of the Saudi government to transform the holy city of Makkah into a modern smart city (have) gained momentum with the development of a number of other projects as well,” he added, pointing to these infrastructure initiatives.