Arab News, Tuesday, Jan 19, 2021 | Jamadi Al Thani 6, 1442
$480m fund launched to build hotel resort at King Abdullah Economic City
Saudi Arabia: A $480 million fund to build a luxury resort at
King Abdullah Economic City (KAEC) has been launched.
Emaar The Economic City (Emaar EC) announced in a Saudi stock market filing
on Sunday that a framework cooperation agreement to establish the investment
fund had been signed.
It said the agreements would be signed with the Saudi Tourism Development
Fund, the Turkish investment company FTG Development, Saudi bank Albilad’s
investment company, Albilad Capital, and Curacao-based finance company
Ekofine Holding BV.
The fund will be allocated toward the development and operation of a
five-star resort and hotel under the Dubai-based Rixos brand, owned by Accor
International, according to a company statement.
The project, Rixos Emerald Shores, is slated to be one of the largest
tourist resorts in KAEC, which is located outside Jeddah.
Rixos Emerald Shores has been designated a total land area of 275,000 square
meters, with a 600 meter stretch of Red Sea beach, and a 600 meter long golf
course. The resort will also include a water park, kids club, gyms and
around 10 restaurants and cafes.
It will have 500 regular hotel rooms and 35 luxury villas.
The project comes as it was announced that Emaar EC’s board of directors had
accepted the resignation of CEO Ahmed Linjawy, who is set to leave the
company this April.
Emaar EC said Linjawy was resigning for personal reasons. He was appointed
CEO in 2018 following the resignation of Fahad Al Rasheed.
The latest announcements were made days after the appointment of new
managing director, Ahmed Boshnak.
Emaar EC’s flagship KAEC project has a total development area of 173 square
kilometers.
The total cost of the city is estimated to be around SR207 billion. Since
being announced and inaugurated by the late King Abdullah, KAEC has featured
projects and initiatives with a total worth of SR130 billion, such as the
Science and Research Complex, KAEC Media City, the EMAL International
Aluminum Smelter factory, and Ethraa, The Smart City.