IHG Hotels & Resorts has signed a management agreement with Saudi Investment Group and Marketing Co (SIGMAC), a wholly owned subsidiary of Ghazzawi Group, for its second Hotel Indigo in Jeddah. Opening in Q1 2028, Hotel Indigo Jeddah will comprise of 267 hotel rooms and 173 serviced apartments. The signing which took place at Future Hospitality Summit (FHS) in Dubai comes as part of IHG’s continued expansion in the region and in Saudi Arabian hospitality market, in line with Vision 2030.

Speaking on the announcement, Haitham Mattar, managing director, India, Middle East & Africa, IHG said: “With the signing of our second Management Agreement for Hotel Indigo in Jeddah, we look forward to being able to welcome more guests to visit this exciting and dynamic city in the coming years.

“We are greatly encouraged by the Saudi leaderships’ investment into the reinvigoration of Jeddah, under the Saudi Tourism Development Strategy. Joining our Hotel Indigo properties in Riyadh, and Hotel Indigo Durrat Al Arus here in Jeddah, this new agreement aligns closely with our ambition to deliver a truly unique urban lifestyle proposition to new guest segments in Saudi Arabia. It will continue to drive forward our vision of offering the perfect balance of local experiences and hospitality, complimented by the familiarity of our brands’ modern design and the latest technological advancements in the industry.”

Jason Addison, the CEO of SIGMAC, added: “We’re pleased to partner with IHG to bring a new Hotel Indigo to Jeddah with our iconic mixed-use development in the city. The Kingdom’s tourism offering is ever growing and it’s exciting to be an integral part of that, while reassured by being partnered with one of the world’s largest hotel groups.

We look forward to benefiting from both IHG’s global experience and expertise in the industry, but even more importantly, their knowledge of our market through their long-standing presence in KSA.  When we open our doors in Q1 2028, we plan to offer our guests the unique experience of a Hotel Indigo, in a way that honours the hospitality so ingrained within the Saudi culture.”

The new hotel’s arrival into the cultural and historical center of the country underscores IHG’s strong lifestyle proposition and readiness to cater to the future demand from various guest profiles visiting the country. Staying true to Hotel Indigo’s brand hallmarks, the hotelwill have a distinctive personality, drawing inspiration from its culturally diverse location, and from the places, people and ideas that surround it.

The hotel will be developed as part of the SIGMAC mixed use development on Prince Sultan Road. The development will become one of the most iconic mixed-use destinations in Jeddah with a premium hotel, residential, offices, retail and entertainment facilities. Following the Saudi government’s investment into Jeddah under Vision 2030 — through the redevelopment of waterfront projects, and boosting of airport and high-speed train connectivity, the hotel will be an ideal destination for domestic visitors. Moreover, Jeddah being a crucial link between the Holy cities, the hotel will provide guests access to Madinah and Makkah.

In addition to aesthetically designed rooms, the hotel will feature a neighbourhood café, lobby lounge, health club and swimming pool. Additionally, guests on business will have access to  meeting rooms and printing facilities.