InterContinental Hotels Group (IHG) has signed an agreement with Dyafah Al Mutahida to open a 200-key Staybridge Suites in Jeddah, Saudi Arabia.
This will be the first Staybridge Suites property, which offers an extended stay, in Saudi Arabia, IHG said in a statement.
Staybridge Suites Hira Street will be located in central Jeddah and will form part of Dyafah Al Mutahida's mixed-used development including retail outlets, healthcare facilities and a multi-purpose hall.
Mohammed BaGabas, of Dyafah Al Mutahida said: "With the major expansion to Jeddah's airport and the boom in real estate construction, Jeddah is becoming an increasingly important commercial hub.
"Our mixed-use development will provide guests with the convenience of retail outlets and other facilities on their doorstep. With Staybridge Suites, we know we will be delivering a home-from-home environment and high quality service to the discerning business travellers attracted to Jeddah."
The property's suites will feature fully-equipped kitchens, separate working areas, entertainment and communication facilities including free WiFi.
The agreement to develop a Staybridge Suites in Jeddah forms a key part of IHG's strategy to expand all its brands in the city, which the hotel group has identified a primary focus area in the Middle East.
Staybridge Suites Hira Street will join three existing IHG properties in Jeddah - the 300-room InterContinental Jeddah, 323-room Crowne Plaza Jeddah, and 319-room Holiday Inn Al Salaam Jeddah.
Pascal Gauvin, IHG's chief operating officer, for India, Middle East and Africa said: "We are seeing an increase in demand for a range of accommodation options in Saudi Arabia and Staybridge Suites is our latest response to that demand.
"This new property is a perfect complement to our existing Jeddah properties and is an important part of our continued growth within Jeddah and Saudi Arabia."
IHG is currently the largest international hotel company in Saudi Arabia, both by number of hotels (22) and by number of rooms (5,111). IHG currently has eight hotels in its Saudi Arabia pipeline across four brands.