NEWS / REGIONAL
Marriott earmarks Saudi Arabia as "top priority" market
A leading regional hotel chief has revealed Saudi Arabia is a top priority destination for his group. Alex Kyriakidis, President and Managing Director of Continent, Marriott International Inc, recently met with leading Saudi hospital- ity industry investors and play- ers to discuss opportunities and challenges of hotels as an asset class in Saudi Arabia. The invitation-only business
breakfast briefing at The Ritz- Carlton, Riyadh, was organised as a pre-cursor to the Arabian Hotel Investment Conference (AHIC 2013), set to be held in Dubai in May. Hosted by Kyriakidis, participants shared their views on Saudi Arabia’s rapidly growing hotel mar- ket and offered an insight for existing and potential local investors on key industry updates and statistics. Kyriakidis said: “KSA is a
top priority growth market for Marriott International. A recent STR report showed KSA room supply is around 50,000 operat- ing rooms, with 25,000 under construction. In total, this figure represents less than 1,875 rooms per million domestic and inter- national travellers combined, a ratio significantly lower than mature markets. “Exponential growth is pro-
jected for both inbound and domestic travel. This is driven by a number of large-scale pro- jects, such as the expansion of the Holy Mosques in Makkah and Madinah, as well as a num- ber of economic and indus- trial cities and large infrastruc- ture projects, such as railroads and airports. The potential of the KSA market will more than double in size by 2020.” He told invitees Marriott
International’s target is to grow its current portfolio of 4,056 operating and pipeline rooms to more than 10,000 by 2020.
26 /
“Among investors,” he said, “we are seeing a new genera- tion of analytical and business savvy entrepreneurs who have built up their own hospitality expertise, who are far more cau- tious about their investments since the economic crash – demanding accountability, value, greater profitability and ROI from the partnership with the hotel operator.” Philip Wooller, Area
Director of Middle East & Africa of industry benchmark- ers, STR Global, gave a pres- entation on the MENA region and Saudi Arabia.
rooms Marriott International aims to have in Saudi Arabia by 2020
10,000 The number of
He said: “The hotel perfor-
mance of some Saudi Arabian cities are comparable with London, Paris, Tokyo and New York, with Jeddah achiev- ing similar occupancies and Riyadh surpassing the Average Rate. The next two to three years will see a considerable increase in hotel room supply, particularly in Riyadh, Jeddah and Makkah. With large gov- ernment-supported projects across the country, I see no rea- son why demand will not keep pace with the new supply.” The event also included a
session on regulation and gov- ernment incentives for the hotel sector in Saudi Arabia, includ- ing a conversation between Muhammad Al-Amir, Managing Director of Riyada International
Hotels & Resorts and Dr Salah Al-Bukayyet, Deputy Secretary General of Investments of Saudi Commission for Tourism and Antiquities (SCTA). Dr Salah said the government
plays a very important role in accelerating hotels’ growth of inbound and domestic tourism. “The tourism vision of the king- dom is based on a comprehen- sive framework of policies and principles of sustainability and economic feasibility. SCTA’s mission is to facilitate this sus- tainable and balanced tourism development through the for- mulation of clear-cut policies in close partnership with industry leaders and private sector and strengthen this nascent industry to achieve the highest degree of self-sufficiency,” he said. Jonathan Worsley, Chairman,
Bench Events, commented: “AHIC, this year, has dedicated a number of pre-event business briefings in significant coun- tries in the region, to focus on current issues and opportuni- ties in them. KSA was at the top of our list because Saudi hotel development is witnessing a sustained upswing with the numerous large-scale projects and the constant flow of reli- gious tourists into the country.
Alex Kyriakidis
Additionally, the tourism indus- try has consistently been a key contributor to the KSA econ- omy and a pillar of the govern- ment's economic diversifica- tion program.” The AHIC 2013 Conference includes a symposium on Saudi Arabia, offering an excellent opportunity to hotel owners, developers and investors to learn how their businesses can benefit from the kingdom’s phenomenal growth.
AHIC 2013
AHIC 2013, organised by MEED and Bench Events, takes place at Madinat Jumeirah, Dubai, from May 5 to 6, 2013. The conference will include key participants such as Jumeirah Group, Carlson Rezidor Hotel Group, IHG, Corinthia Hotels, IFA Hotel Investments, Marriott International, SMIT, Starwood Hotels and Resorts Worldwide, Wyndham Worldwide, Hilton Worldwide, ACCOR, Citymax Hotels, Fairmont Hotel & Resorts, Raffles Hotels & Resorts, Argentina National Institute of Tourism Promotion, Golden Tulip Hotels MENA, HVS, Jones Lang LaSalle, Melia Hotels International, Orient Express Hotels, Premier Inn, Quadriga, STR Global, Saudi Commission for Tourism & Antiquities, Turnkey Ventures and WATG.
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24 |
Page 25 |
Page 26 |
Page 27 |
Page 28 |
Page 29 |
Page 30 |
Page 31 |
Page 32 |
Page 33 |
Page 34 |
Page 35 |
Page 36 |
Page 37 |
Page 38 |
Page 39 |
Page 40 |
Page 41 |
Page 42 |
Page 43 |
Page 44 |
Page 45 |
Page 46 |
Page 47 |
Page 48 |
Page 49 |
Page 50 |
Page 51 |
Page 52 |
Page 53 |
Page 54 |
Page 55 |
Page 56 |
Page 57 |
Page 58 |
Page 59 |
Page 60 |
Page 61 |
Page 62 |
Page 63 |
Page 64 |
Page 65 |
Page 66 |
Page 67 |
Page 68 |
Page 69 |
Page 70 |
Page 71 |
Page 72 |
Page 73 |
Page 74 |
Page 75 |
Page 76 |
Page 77 |
Page 78 |
Page 79 |
Page 80 |
Page 81 |
Page 82 |
Page 83 |
Page 84 |
Page 85 |
Page 86 |
Page 87 |
Page 88 |
Page 89 |
Page 90 |
Page 91 |
Page 92 |
Page 93 |
Page 94 |
Page 95 |
Page 96 |
Page 97 |
Page 98 |
Page 99 |
Page 100