Saudi Arabia’s NEOM Attracts Two Additional Major Hospitality Players

Saudi Arabia’s Oxagon, a coastal industrial city in NEOM, has attracted two additional major hospitality players, namely IHG Hotels & Resorts and Kerten Hospitality.

IHG® Hotels & Resorts, one of the world’s leading hotel companies, with 6000 hotels across 18 brands, has signed a franchise agreement that will see a Hotel Indigo property open in Oxagon, a coastal industrial city in NEOM, located in the Northwest region of Saudi Arabia.

In Oxagon, thriving communities will exist seamlessly alongside clean industry, commercial, hospitality, entertainment, and retail activities. The 250-key Hotel Indigo property will be situated in Oxagon’s first residential community and will open its doors in 2026. Designed to seamlessly integrate work, life, and play, Oxagon’s neighborhoods will be fully walkable, with sustainable on-demand mass transit and micro-mobility solutions.

As one of IHG’s lifestyle brands, Hotel Indigo properties offer a gateway to some of the world’s most inspiring locations. Just as no two neighborhoods are alike, no two Hotel Indigo properties are the same, taking inspiration from the area around each hotel to inform all aspects of the guest experience, from the hotel’s boutique design approach to locally inspired restaurants. Similarly, the Hotel Indigo property in Oxagon will be designed as a lifestyle destination offering exciting retail and dining concepts including cafés, a pool lounge, and a specialty restaurant.

Additionally, residents and visitors will have access to a range of leisure and wellness facilities including a spa and 24-hour fitness center.

Haitham Mattar, Managing Director, India, Middle East & Africa, IHG, said: “We are delighted to announce our first IHG hotel in the exciting and rapidly developing region of NEOM. Hotel Indigo is dedicated to embracing the unique essence of each local destination, ensuring that our hotels truly embody the spirit of their locations. We are excited to announce the upcoming opening of this new property in Oxagon, where an innovative blueprint for industry and remarkable livability is being crafted. This extraordinary establishment is set to welcome guests in 2026. In addition, our lifestyle brand, Hotel Indigo, has seen great success in the Kingdom with several signings in the past months. As our presence in the market continues to grow, we are committed to supporting the goals of Saudi Vision 2030 by offering exceptional hospitality experiences to leisure and business travelers visiting the country.”

Redefining the traditional industrial city, Oxagon will put people, innovation, and sustainability at the core of its development and will be home to a dedicated research and innovation campus and a next-generation sustainable port with a fully automated and integrated supply chain. Vishal Wanchoo, CEO of Oxagon said: “Hotel Indigo’s vision to create a boutique neighborhood hotel reflecting Oxagon’s ethos of bringing people and technology together in harmony with nature, makes IHG the right partner for the first upscale property for our urban communities. As progress across our industrial and innovation ecosystems accelerate, these agreements ensure that exceptional hospitality experiences are available to tenants, residents, and visitors from the outset.”

The partnership represents the latest agreement between a hotel brand and NEOM’s Hotel Development division which is responsible for building a future-centric hospitality ecosystem in NEOM.

Chris Newman, Executive Director, of Hotel Development at NEOM, commented: “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. We are delighted at the opportunity to create exceptional guest experiences that reflect the captivating beauty of their environment. With this property, we aim to capture the true essence of Oxagon’s innovative approach to the industry, its remarkable people, and the cutting-edge technology that defines it. We are confident that IHG is the perfect partner to embark on this endeavor with us, leveraging their expertise to bring our vision to fruition.”

IHG currently operates 37 hotels across five brands in Saudi Arabia, including InterContinental, Crowne Plaza, Holiday Inn, Staybridge Suites, and Voco, with 31 hotels in the development pipeline set to open within the next three to five years. Last month IHG signed a management agreement to open a Hotel Indigo in Mohammed Bin Salman Non-profit City in 2025.

Kerten Hospitality House Residence Brand to Open its Doors in Oxagon in 2025

Kerten Hospitality will enter its House Residence brand in Oxagon, home to advanced and clean industries in NEOM. This move will further Kerten Hospitality’s ambitious expansion across the Kingdom of Saudi Arabia. The upscale 200-unit serviced apartments, at the heart of Oxagon’s first residential community, are set to open their doors in 2025.

Reimagining the traditional industrial city, Oxagon is creating a new paradigm for urban living. Offices, world-class recreational and sports facilities, next-generation mobility solutions, and unique hospitality and retail concepts are all seamlessly integrated within communities, in harmony with nature.

Marloes Knippenberg, CEO of Kerten Hospitality, said, “We are envisioning a transformation in the concept of living. The House Residence in NEOM’s Oxagon is more than just a project – it’s a statement of intent to catalyze the evolution of our habitats, foster thriving communities, and redefine the human experience. Our alliance with NEOM at Oxagon marks a crucial step as we contribute to the extraordinary transformation of Saudi Arabia. As the nation unfolds its tourism potential, we stand on the brink of a new era of global exposure. NEOM is set to be the beacon guiding this transformative tide, and our aim is to anchor the vibrant communities being built in Oxagon.”

Vishal Wanchoo, CEO of Oxagon added, “One of the many reasons we’re excited about working with Kerten Hospitality is the way they interact and work with local talent and entrepreneurs to curate experiences and innovations tailored to our future residents. We feel that The House Residence concept embodies the neighborhood atmosphere and lifestyle from the integration of F&B to advanced technologies, that’s core to the mixed-use residential communities we’re building here at Oxagon.”

Chris Newman, Executive Director, NEOM Hotel Development, commented: “The concept of successfully combining traditional hotel stays with a longer residential component is exemplified in Kerten Hospitality’s portfolio. And this approach, when underpinned by the group’s stellar reputation for delivering service that is unmatched both in quality and warmth, perfectly aligns with the target audience for Oxagon, many of whom will be seeking an experience that captures the spirit of community living.”

NEOM, located in Saudi Arabia’s northwestern region, is anticipated to become a global leader in sustainable urban living and enhanced livability, standing out among the country’s key giga-projects. Upon completion, NEOM will be fully powered by clean energy, utilizing renewable resources such as solar, wind, and green hydrogen-based energy.

In May 2023, the Ireland-based Kerten Hospitality Group announced ‘The Collective’ in Saudi Arabia. This initiative unites several projects from the group across the Kingdom of Saudi Arabia, signifying a combined investment of SAR 1.5 billion. As a premier lifestyle hospitality company, Kerten Hospitality is not only dedicated to introducing new projects but also to fostering collaborations with investors and government bodies. These endeavors serve to boost local communities and reflect the group’s significant commitment and investment in Saudi Arabia’s hospitality sector.