SINGAPORE - The Ascott, CapitaLand's serviced residence business unit, has signed contracts to manage its first two serviced residences in Al Khobar, one of the main metropolitan cities in Saudi Arabia.
One contract is for the 172-unit Ascott Corniche Al Khobar, slated to open in 2018, while the other is for the 133-unit Somerset Downtown Al Khobar, which is slated to open in 2019.
The Ascott said the new contracts will boost its presence in the Middle East to more than 2,300 apartment units across 16 properties, which are in nine cities in places like Oman, Qatar, Turkey and the United Arab Emirates (UAE).
Ascott chief executive Lee Chee Koon said in a statement on Wednesday (April 6): "In addition to these two new properties in Al Khobar, Ascott will open seven more properties over the next three years, in Dubai in UAE, Istanbul in Turkey, Jeddah and Riyadh in Saudi Arabia and Muscat and Sohar in Oman."
He said strong demand has been fuelled by growth in domestic and regional business, and leisure travellers.
Ascott plans to have 5,000 serviced residence units in the Middle East by 2020.