Tourism Development Fund Signs MoU to Enable Lifestyle Hospitality in Hail

The Tourism Development Fund (TDF), Saudi Arabia’s national tourism enabler, announced the signing of a Memorandum of Understanding (MoU) between Al Rajhi Capital and Hail Region Municipality, to benefit from the Hospitality Investment Fund, established by TDF in partnership with Ennismore and managed by Al Rajhi Capital, which is licensed by the Capital Market Authority in Saudi Arabia (License No. 37-07068). The MoU aims to lease a strategic land parcel to develop a modern lifestyle hospitality project that supports the growth of the tourism sector in the region and contributes to developing destinations aligned with the National Tourism Strategy and Saudi Vision 2030.

Signed on the sidelines of Cityscape Global 2025 in Riyadh (17–20 November), the MoU builds on TDF’s previously announced tripartite partnership to establish a SAR 1.5 billion lifestyle hospitality investment fund, dedicated to developing and operating contemporary hotels under leading Ennismore brands. The MoU paves the way for site evaluation, land selection, and the initiation of development planning in line with global standards in both design and operations.

Commenting on the occasion, Qusai Al-Fakhri, CEO of TDF, stated: “This MoU reflects TDF’s commitment to supporting high-quality investments and enabling public-private partnerships to develop modern tourism destinations across the Kingdom. It exemplifies the Fund’s role in stimulating investment, providing effective development and financing solutions, and attracting global brands that elevate the visitor experience and enhance service quality. Through this collaboration, we aim to advance tourism development in Hail and unlock greater economic and social value for the region.”

For his part, Engineer Sultan bin Hamed Al-Zaydi, Mayor of Hail Region, emphasized the importance of the agreement in supporting the region’s growing tourism ecosystem, stating: “Hail possesses unique natural, cultural, and tourism assets. This strategic partnership with TDF and the private sector will help transform these assets into modern hospitality projects and contemporary tourism experiences that elevate the region’s appeal and create promising investment opportunities. At the Municipality, we are working to enhance infrastructure and support investors to ensure the success of these initiatives in line with Saudi Vision 2030.”

Meanwhile, Rami Al-Kouz, Head of Real Estate Investments at Al Rajhi Capital, commented: “This MoU represents an important step toward strengthening the role of the joint investment fund in developing high-impact tourism projects in Hail. With its distinctive natural and cultural assets, the region is well positioned to attract significant investments in hospitality and tourism. Through this collaboration, we aim to support evaluation and development stages to deliver a hospitality project that meets world-class standards and helps boost the region’s competitiveness and investment opportunities.”

Through this investment fund and its global and local partnerships, TDF continues to strengthen collaboration between government entities and the private sector to develop sustainable, high-quality hospitality projects that reinforce Saudi Arabia’s position as a global tourist destination, and establish lifestyle hospitality as a key engine for tourism growth.