Building work starts on first two hotels at Red Sea Project


TRSDC awarded the construction contracts to Saudi company Al-Bawani and Swiss firm Blumer Lehmann

The Red Sea Development Co. (TRSDC), the tourism developer wholly owned by Saudi Arabia’s Public Investment Fund (PIF), announced on Wednesday that it had started construction on two of its flagship hotel projects. TRSDC awarded the construction contracts to Saudi company Al-Bawani and Swiss firm Blumer Lehmann.

Al-Bawani will be responsible for civil and structural work across 40 hotel villas on the Southern Dunes site, while Blumer Lehmann will manage the timber construction, planning, and fabrication work for a hotel situated on Ummahat Al-Shaykh Island.

John Pagano, the CEO of TRSDC, said: “It is exciting to award these contracts, which signify the start of a new phase for us as we move into the build of our stunning resorts both inland and on one of our key islands. “We feel confident that Al-Bawani and Blumer Lehmann will help turn our vision into a reality.”

The hotel project at the Southern Dunes site will also include the building of staff accommodation for around 700 employees, which will substantially reduce workers’ travel time and help improve productivity. The Red Sea Project was announced by Crown Prince Mohammed bin Salman in July 2017. Elements of the first phase of the flagship scheme are due to open in 2022, with full completion in 2030. Construction at the project site is well underway and the developer last year announced it had awarded approximately $4 billion worth of construction projects in 2020. In 2022, when the first guests are welcomed to the resort, there will be four hotels initially, with 12 more scheduled to open their doors before 2023, bringing the total number of hotel rooms to 3,000 across five islands and two inland resorts.

Upon full completion in 2030, the project will comprise 50 hotels offering up to 8,000 hotel rooms and 1,300 residential properties across 22 islands and six inland sites.

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