How IHG and Ashaad Drive Powerful Hospitality Expansion with Three New Hotel Developments in Saudi Arabia Under Vision 2030, What You Need To Know

In alignment with the Kingdom of Saudi Arabia’s Vision 2030, a transformative national strategy overseen by the Ministry of Economy and Planning and the Ministry of Tourism, IHG Hotels & Resorts and Ashaad Company have signed agreements for three major hotel developments.

Announced officially at the Future Hospitality Summit Riyadh 2025, these strategic projects aim to support Saudi Arabia’s diversification agenda and solidify its standing as a premier global tourism destination.

The new hotel signings, set to open between 2028 and 2030, will include Hotel Indigo Jeddah Gate, InterContinental Al Khobar Al Hamra, and voco Al Khobar Al Andalus.

These properties will collectively add more than 1,700 rooms to the Kingdom’s expanding hospitality infrastructure.

National Strategy Backing the Growth of Tourism Infrastructure

According to the Ministry of Tourism of Saudi Arabia, Vision 2030 aims to increase tourism’s contribution to GDP from 3% to over 10% and attract 100 million annual visitors by the end of the decade.

These targets have led to increased investments in hospitality, including public-private partnerships and international collaborations, to raise service standards and accommodate a surge in domestic and international tourists.

In support of this national goal, IHG’s newest projects with Ashaad are positioned in key urban centers that are being prioritized under the Kingdom’s regional development strategies.

Both Jeddah and Al Khobar are central to these plans, offering strategic connectivity, cultural value, and commercial significance.

Project Breakdown: Enhancing Key Regional Hubs

InterContinental Al Khobar Al Hamra

Situated adjacent to the upscale Al Shubaily Grand Mall, this 326-room property is positioned to elevate the luxury hospitality landscape in Al Khobar, a vital part of the Eastern Province.

The Ministry of Municipal, Rural Affairs and Housing identifies Al Khobar as a high-growth area, with urban development and infrastructure expansion making it a prime market for premium hotels.

This hotel is tailored for business and leisure travelers seeking proximity to the Dammam Metropolitan Area, a hub of industrial and commercial activity.

voco Al Khobar Al Andalus

voco Hotels, under IHG’s premium brand segment, continue to grow rapidly in Saudi Arabia. With 717 rooms, the voco Al Khobar Al Andalus will contribute significantly to upscale hotel capacity.

This hotel is located near the Al Khobar Corniche, a government-recognized public space that draws both local and international visitors.

The General Authority for Entertainment highlights such waterfront developments as critical leisure zones that contribute to the national tourism strategy.

Hotel Indigo Jeddah Gate

The 700-key Hotel Indigo Jeddah Gate will be part of a larger mixed-use development, encompassing residential, commercial, and hospitality infrastructure.

It is ideally positioned near Al Balad, a UNESCO World Heritage Site, and the Jeddah Central Development, an official megaproject endorsed by the Public Investment Fund (PIF). The PIF considers Jeddah a priority area for sustainable urban redevelopment and cultural tourism investment.

This hotel will offer a lifestyle-focused hospitality experience reflective of Jeddah’s unique historical and social fabric.

Partnership Aligned with Government Objectives

The collaboration between IHG and Ashaad supports the Saudi Commission for Tourism and National Heritage (SCTH) and the Ministry of Investment, which advocate for strategic partnerships that bring international hospitality expertise into the Kingdom.

These hotels will be managed under IHG’s operational leadership while leveraging Ashaad’s local real estate and development capabilities.

This agreement is an example of the types of public-private alignment that Vision 2030 champions.

The National Tourism Strategy specifically emphasizes partnerships that enable skill transfer, infrastructure growth, and brand development, helping Saudi Arabia compete on the global tourism stage.

Commitment to High-Quality Hospitality Standards

The planned developments are not only expanding room capacity but also delivering international quality standards.

With features such as high-end amenities, contemporary design, and local cultural integration, these hotels aim to exceed expectations of both international guests and domestic travelers.

According to the Saudi Standards, Metrology and Quality Organization (SASO), consistent quality across the hospitality sector is essential to building a trustworthy and world-class tourism brand.

Broader Impact on Tourism Ecosystem

The Ministry of Tourism’s official figures show that hotel investments are central to the Kingdom’s broader tourism goals.

With 49 hotels in IHG’s national pipeline, these latest additions further strengthen Saudi Arabia’s readiness to host international events, boost domestic tourism, and provide employment opportunities in the hospitality sector.

Looking Ahead

IHG Hotels & Resorts currently operates 45 hotels across six brands in Saudi Arabia, including InterContinental, Crowne Plaza, Holiday Inn, Staybridge Suites, and voco, with dozens more in development.

This growing footprint, in collaboration with developers like Ashaad, exemplifies how coordinated strategies between the private sector and the Saudi government are shaping a vibrant and globally competitive tourism sector.

These three new projects are more than hotel signings—they are strategic pillars within the Kingdom’s transformation, designed to support Vision 2030 and elevate the visitor experience across key cities like Jeddah and Al Khobar.

The post How IHG and Ashaad Drive Powerful Hospitality Expansion with Three New Hotel Developments in Saudi Arabia Under Vision 2030, What You Need To Know appeared first on Travel And Tour World.