The Guest House Company announced that it has completed yesterday, Wednesday, the signing of the final partnership agreement between the group and the Endowment Investment Company (the investment arm of the General Authority for Endowments), which provides for the establishment of a company with Special purpose.
The guest houses said in a statement to the Saudi Market (Tadawul), that the partnership will be with a percentage of ownership (49%) for Dur Hospitality and (51%) for the General Authority for Endowments, The initial capital of the new company is 25 thousand riyals.
The new company will lease a plot of land No. (125) in Madinah, located in the central region on the northern side of the Prophet’s Mosque, from the General Authority for Endowments and develop it by building a 5-star hotel on it Which will be operated by the hotel operating arm of guest houses under (Makarem brand) designated for the markets of Makkah and Madinah.
The project will be funded according to the proportion of the contribution of each of the parties to the capital of the new company, provided that the financing is done according to the project's need in an amount not exceeding 250 million riyals.
The signing of the agreement comes in line with the strategic plan for guesthouses to be in Madinah and to create an integrated system for the company’s hotels in the cities of Makkah and Madinah in light of the Kingdom of Saudi Arabia 2030 vision, which aims to increase The numbers of pilgrims and visitors to the Prophet’s Mosque.
(Amazon Fun Knowledge)
