Saudi Arabia has launched a new luxury hospitality firm to develop palaces into opulent hotels.
The firm, which is called Boutique Group, will develop Jeddah's Al Hamra Palace and Riyadh's Tuwaiq Palace and Red Palace, a statement from the kingdom's Public Investment Fund (PIF) said. The sites will offer 244 rooms, suites and villas.
Aiming To Grow Tourism
The world's biggest oil exporter aims to grow tourism to contribute 10% of gross domestic product by 2030 under plans to diversify the economy.
Development of the three palaces will be a first phase, with other "high-end experiences" planned including restaurants and spas.
PIF Governor Statement
PIF Governor Yasir al-Rumayyan said that the launch underlines the $480 billion sovereign wealth fund's "mandate to unlock the capabilities of promising sectors in Saudi Arabia that can help drive the diversification of the economy and contribute to non-oil GDP growth."