TDF and Ennismore sign memorandum of understanding to explore $ 400 million investment fund
RIYAD – The Tourism Development Fund (TDF) and Ennismore on Wednesday signed a memorandum of understanding at the 5th Future Investment Initiative (FII) in Riyadh to explore the creation of a $ 400 million (SR1.5 billion) fund that would provide Ennismore lifestyle brands to at least 12 destinations in Saudi Arabia.
As part of the MoU, TDF would identify locations and provide funding options for projects across the Kingdom, while Ennismore would lead the programming, design and operation of the destinations, under its style brands. life. Established in 2021, Ennismore is a joint venture between Sharan Pasricha, founder and co-CEO, and Accor, creating the world’s largest and most dynamic lifestyle company, comprising 87 properties in operation worldwide, with 141 additional hotels in the pipeline.
The Ennismore brands are: 21c Museum Hotel, 25hours, Delano, Gleneagles, Hyde, JO & JOE, Mama Shelter, Mondrian, Morgans Originals, SLS, SO /, The Hoxton, TRIBE and Working From_.
The development of lifestyle destinations – an underserved segment of the Saudi tourism industry – would align with the 10 key destinations in the national tourism strategy, including Riyadh, Jeddah, Eastern Province, Asir, AlUla, Taif, Medina, Al-Baha, Hail and Al-Jouf, delivering around 2000 keys.
TDF would continue to provide new opportunities for private sector investors in the Saudi tourism space, while aligning with broader sustainable tourism efforts across the Kingdom, prioritizing nature protection and supporting local communities. TDF and Ennismore are committed to employing, training and developing Saudi talent, creating up to 3,000 jobs.
Increasing the presence of lifestyle hotel brands is at the heart of the Kingdom’s strategy to welcome brands that play an active role in animating the community and establishing deep ties with customers through shared values, unique design and authentic dining destinations, both for international visitors and locals. .
During a ceremony in the presence of the Minister of Tourism Ahmed Al Khateeb, Chairman of TDF, SÃ©bastien Bazin, Chairman and CEO of Accor, and Qusai Al-Fakhri, CEO of TDF, signed the Memorandum of Understanding in the presence of Sharan Pasricha and Gaurav Bhushan, Co-CEO of Ennismore.
Al-Fakhri said, âThis MoU marks an important milestone for TDF as we continue to enable private sector investors to benefit from the enormous opportunities offered by the growing Saudi tourism sector.
âThe fund would channel private sector investments to various regions of the Kingdom, enriching the visitor experience and enhancing the value of strategic projects through world-renowned hotel brands. These new lifestyle destinations would create unique experiences for visitors and residents, providing them with exciting entertainment and dining offerings, as well as co-working spaces. They would also focus on ensuring the social, environmental and economic sustainability of the areas in which they are located. “
Bhushan and Pasricha added, âSaudi Arabia is a key growth market for Ennismore and we are delighted that this partnership with TDF solidifies our commitment to the Kingdom’s tourism sector.
âBy expanding our presence across Saudi Arabia, we are proud to support the creation of investment and job opportunities that will help enrich the tourism experience. We look forward to bringing our brands with their unique design and authentic experiences to the Kingdom. “
TDF was established in June 2020 with a capital of billions of dollars to stimulate the growth of tourism in Saudi Arabia. The Fund works to unify the efforts of the tourism sector and its partners, including lenders, operators and service providers, to improve the investment experience and facilitate the private sector’s access to opportunities in various regions of the Kingdom which are distinguished by their natural, geographical, and cultural offerings. – SPA