Danantara Indonesia, through its investment arm, PT Danantara Investment Management, has acquired 4.4ha of land plots within the SAR26bn ($7bn) Thakher Makkah development in Saudi Arabia following the acquisition and handover of Novotel Thakher Makkah.
According to Thakher Development, the next phase will involve investments worth SAR2bn ($524M) from Danantara with plans to develop about 6,000 additional hotel rooms and more than 90 retail outlets within the mega development.
Spanning over 320,000sq m area on a site located 1km from the Grand Mosque, the Thakher Makkah project comprises a mix of residential, retail and hospitality elements. Upon completion, it will boast about 100 land plots for the development for hotels and residential, commercial and service-related facilities.
This transaction establishes a long-term investment presence in Makkah’s hospitality sector and provides a foundation for the development of an integrated accommodation and services ecosystem for Hajj and Umrah pilgrims.
This comes following the strategic agreement announced by Danantara Indonesia and Thakher Development Company.
The investment forms part of the Hajj and Umrah ecosystem (Bait Jemaah Complex) which is intended to provide accommodation and supporting services for Hajj and Umrah pilgrims and advances Danantara Indonesia’s long-term strategy to improve the pilgrimage experience.
By combining an existing hospitality asset with land for future development, the transaction provides a foundation for a phased approach to expanding accommodation capacity and supporting services.
