IHG signs franchise agreement for Saudi Vision 2030 hospitality expansion
The franchise agreement reinforces IHG's dedication to Saudi Vision 2030 and the expansion of the hospitality industry in the area.
The construction of a Hotel Indigo facility in Oxagon highlights the city's goal of developing a new urban model where business and thriving neighborhoods coexist.
Saudi Arabia, A franchise deal was signed with IHG® Properties & Resorts, one of the largest hotel businesses in the world with 6,000 properties under 18 brands, and it will result in the opening of a Hotel Indigo property in Oxagon, a coastal industrial city in the NEOM region of northwest Saudi Arabia.
Oxagon will effortlessly integrate clean industry, business, hotel, leisure, and retail activities with vibrant neighborhoods. The first residential neighborhood of the Oxagon will house the 250-key Hotel Indigo, which is scheduled to debut in 2026. Oxagon's neighborhoods will be entirely walkable, with sustainable on-demand mass transit and micromobility alternatives. They are designed to seamlessly blend work, life, and play.
A portal to some of the most amazing places on earth, Hotel Indigo hotels are one of IHG's lifestyle brands. No two Hotel Indigo locations are the same, just as no two neighborhoods are the same. Instead, the environment around each property has an impact on every aspect of the guest experience, from the hotel's boutique design approach to its locally inspired eateries. In a similar vein, the Hotel Indigo establishment in Oxagon will be developed as a lifestyle destination with intriguing retail and culinary concepts, such as cafés, a pool lounge, and a specialty restaurant. A spa and a 24-hour fitness center are just a couple of the leisure and health amenities that residents and guests will have access to.
IHG's managing director for India, the Middle East, and Africa, Haitham Mattar, stated: "We are excited to announce the opening of our first IHG hotel in NEOM, a region that is lively and fast developing. In order to make sure that our hotels genuinely capture the spirit of their surroundings, Hotel Indigo is committed to embracing the distinctive essence of each local destination. We are thrilled to announce the opening of this brand-new building in Oxagon, where a cutting-edge plan for business and exceptional livability are being created. In 2026, this amazing place will open its doors to visitors. In addition, Hotel Indigo, our lifestyle brand, has enjoyed significant success in the Kingdom and has signed numerous new contracts recently. We are dedicated to assisting Saudi Vision 2030's objectives as our market share expands by providing top-notch hospitality experiences to tourists and visitors on business.
Oxagon will redefine the conventional industrial city by putting its residents, innovation, and sustainability at the center of its growth. It will also be home to a specialized research and innovation campus and a cutting-edge sustainable port with a fully automated and integrated supply chain. The CEO of Oxagon, Vishal Wanchoo, stated: "IHG is the ideal partner for the first upmarket property for our urban neighborhoods because Hotel Indigo's objective is to establish a boutique neighborhood hotel matching Oxagon's concept of bringing people and technology together in harmony with the environment. These agreements make sure that excellent hospitality experiences are available to tenants, residents, and visitors right away as progress throughout our industrial and technological ecosystems accelerates.
The relationship is the most recent arrangement between a hotel brand and NEOM's Hotel Development division, which is in charge of creating an ecosystem focused on the future of hospitality at NEOM.
"Hotel Indigo has earned global recognition for its unmatched ability to blend character and comfort, infusing the unique spirit of each neighborhood it operates in," said Chris Newman, Executive Director, Hotel Development at NEOM. We are thrilled to have the chance to provide great guest experiences that capture the allure of their surroundings. With this asset, we hope to truly express the spirit of Oxagon's industry-redefining innovation, exceptional people, and cutting-edge technology. We are certain that IHG is the ideal collaborator to start this project with us and use their skills to make our vision a reality.
InterContinental, Crowne Plaza, Holiday Inn, Staybridge Suites, and Voco are among the five brands under which IHG presently runs 37 hotels in Saudi Arabia. Another 31 hotels are in various stages of development and will likely open over the next three to five years. A management contract for the opening of a Hotel Indigo in Mohammed Bin Salman Non-Profit City in 2025 was signed by IHG last month.