In a significant move to conclude 2023, the Ministry of Investment of Saudi Arabia (MISA), Regal Hotels Group, and Cosmopolitan International Group have inked a Memorandum of Understanding (MoU). This agreement paves the way for a strategic partnership in hotel development and management across Mainland China, Saudi Arabia, and Hong Kong.

The MoU's primary goal is to set up a cooperative framework that emphasizes green tourism and sustainable hotel management. This initiative aligns with the growing global trend of eco-friendly and responsible travel experiences.

A key feature of this partnership is the development and management of a network of sustainable hotels, serviced apartments, and innovation centers under Regal Hotels’ “iclub” brand. This endeavor reflects a commitment to progressive hospitality and real estate projects. The collaboration is designed to boost tourism, innovation, and technology exchange, particularly between China and Saudi Arabia. This intercontinental partnership is expected to unlock new opportunities in these sectors.

Regal Hotels brings to the table its expertise in property technology and sustainable hospitality, while Cosmopolitan International Group offers its seasoned experience in project management of real estate and hotel developments in China and Hong Kong.

The partnership also involves evaluating opportunities for investing in an asset management platform through various channels such as joint ventures, investment funds, or publicly listed companies in Saudi Arabia and/or Hong Kong.

MISA’s deputy minister of investment Saleh Al-Khabti highlighted the MoU’s significance in building Saudi Arabia’s presence in the tourism, innovation, and sustainability sectors, aligning with the nation’s Vision 2030.

Regal Hotels’ vice chairman and managing director Poman Lo expressed excitement over the potential investment opportunities, estimating the partnership's size at around USD$5 billion. This investment is expected to attract both public and private investors.