Saudi El-Khereiji Group ramps up Turkish tourism with hotel investments
SAK Consultants-owned Saudi El-Khereiji Group has plans to boost Turkey's tourism sector through its real estate investment project
The Saudi El-Khereiji Group has reportedly revealed plans to boost Turkey’s tourism sector through hotel investments.
SAK Consultants, which operates within the Saudi-based El-Khereiji Group, said they were in negotiations with a four-star hotel in Istanbul to take over a 70% share of the property worth $12 million.
As well as the unnamed hotel chain, they also have plans to invest in 15-20 boutique rooms in the region.
Turkey’s accommodation and food market are among the sectors that they plan to invest in as part of a $100m budget, which has been supported by the Saudi Government.
SAK Consultants chairman, Solaiman El-Khereiji, told news publication Reuters that they have a project aimed at foreigners who make real estate investments in Turkey.
“Foreigners who buy houses live in them for just several months a year. They are not here for 9-10 months of the year. We have a new system. We buy small hotels and sell them to families on room basis,” said El-Khereiji.
“With this system, which we call the family hotel or boutique hotel, several families own the hotel. These families purchase as many rooms as they need, instead of buying houses. They purchase two, three or four rooms and they stay in this hotel when they come here. They do not have to deal with things like cleaning and cooking and waste their budgets on things such as dues and the common expenses of houses. When they are not here, they also generate income since the rooms can continue to be operated as hotels.”
The Saudi Commission of Tourism and National Heritage (SCTH) recently announced plans to fund 33 new tourism projects across the kingdom, as part of a lending initiative to aid the sector in underdeveloped Saudi regions.