IHG Hotels & Resorts, one of the world’s leading hotel companies, has signed a management agreement to introduce the Hotel Indigo Grand Square Jeddah. This marks the first collaboration between the global hospitality group and an investment fund managed by SEDCO Capital, a global multi-asset management and advisory firm.

The 150-key lifestyle hotel will be a central component of the Grand Square mixed-use development, which is situated on King Abdulaziz Road in Jeddah. The project itself is being developed through a strategic partnership via the fund, bringing together Ajdan Real Estate Development Company, MASIC Investment Company, and SEDCO Capital. The overall development aims to establish a new blueprint for contemporary urban living in Jeddah, integrating hospitality, retail, and office spaces into a single destination.

Hotel Indigo Grand Square Jeddah is envisioned as a flagship lifestyle property. It will adopt the brand’s distinct design philosophy, immersing guests in a neighbourhood-inspired stay that reflects the culture, character, and energy of its local surroundings. The property will offer guests thoughtfully designed rooms, high-end amenities, and an environment that seamlessly combines creativity, comfort, and authenticity.

Haitham Mattar, Managing Director for IHG Hotels & Resorts in India, Middle East & Africa, commented: “Lifestyle travel is becoming increasingly sought-after in the Kingdom, and we are looking forward to introducing another Hotel Indigo property in Jeddah as part of our expanding lifestyle portfolio. This signing not only strengthens our footprint in one of the country’s most dynamic cities but also supports Saudi Arabia’s broader ambitions to diversify its tourism and hospitality offering.”

He added: “Hotel Indigo is a brand built on storytelling and local immersion – ideally suited to a destination like Jeddah, where rich culture and creativity intersect. This property is as unique as the neighbourhood it is part of, and we are excited to bring it to life, creating a new destination for curious travellers, residents, and professionals alike.”

Mr. Abdulwahhab Abed, Chief Executive Officer of SEDCO Capital, commented on the agreement: “This agreement reflects SEDCO Capital’s strategic direction to develop high-quality real estate assets that contribute to the Kingdom’s urban and economic development. Hotel Indigo Grand Square Jeddah represents a pivotal step within an integrated urban project designed to serve the community and deliver added value to the real estate sector. Through our partnership with IHG Hotels & Resorts, we are enhancing the hospitality experience within the ‘Grand Square’ project and reinforcing Jeddah’s position as a leading urban and tourism hub, in line with the goals of Saudi Vision 2030.”

IHG currently operates 46 hotels across six brands in Saudi Arabia, including InterContinental, Crowne Plaza, Holiday Inn, Staybridge Suites, voco, and Hotel Indigo. The company has a substantial development pipeline with 60 hotels planned to open within the next three to five years.