Latest news with #RedPalace
Skift
08-05-2025
- Business
- Skift
Saudi's Boutique Group CEO Targets 2026 for First Luxury Palace Hotel
The group has yet to open a hotel, but the new CEO says he's confident in the rollout plan. Boutique Group, the Saudi hospitality brand focused on converting historic palaces into luxury hotels, plans to open its first property — the Red Palace in Riyadh — in early 2026, with additional openings scheduled through 2030. The kingdom's crown prince launched Boutique Group in 2022, and it is part of the country's Public Investment Fund. Three years in, the group has yet to open a hotel, but new CEO Christoph Mares says he's confident in the rollout. 'The last six months have been very focused on getting the Red Palace [in capital city Riyadh] structured for opening,' Mares told Skift at Arabian Travel Market in Dubai last week. 'We will be ready by early Q2 2026 to open the first palace, I'm confident.' Another site — the 'Japanese Palace' in Jeddah — will open in late 2026. Two more historic sites will follow in late 2027 and early 2028: Al Hamra Palace in Jeddah with 77 keys and Tuwaiq Palace in Riyadh with 96 keys. All properties will include extensive wellness areas and multiple restaurants. These four properties make up phase one of Boutique Group's plan. 'The shareholders are expecting a level above Mandarin Oriental — potentially in the range of Cheval Blanc, Aman, that sort of bracket,' Mares said. 'Our hotels will be relatively small in key count, but the palaces themselves are enormous.' U.S. Business Will Be 'Crucial' One big issue: Will there be enough demand for more 5-star accommodations? In addition, Skift has reported that Saudi has too many high-end hotels in development and not enough in the mid-tier range. For now, most of Saudi's tourism has been domestic: The Saudi Minister of Tourism has said it had 30 million international tourists last year, out of a total of 127 million. The goal is for 70 million international tourists by 2030. But Mares, who until January was COO at Mandarin Oriental, said there's a strong international appetite for experiencing Saudi heritage. "If one truly wants to discover Saudi and where it originates, we'll find our market. At the top end of the market, for international travelers, to have heritage, culture and luxury in one place, no doubt it will have a following." Aman also has five projects in the pipeline across Saudi Arabia, including sites in AlUla and Diriyah Gate. Mares also pointed to which markets Boutique Group would target. 'The Saudi market will be a key pillar for us, followed closely by the GCC, and then internationally. We see strong potential in Asia with the help of Riyadh Air," he said, referring to the new airline set to launch later this year. "Europe already has a strong following for the Gulf, and we can build on that.' He believes the U.S. will be a core market, despite Riyadh being a 12-hour flight from New York and lacking direct West Coast connections — something Riyadh Air hopes to address. 'It's very critical how we make the entry into the U.S. — through Virtuoso, through American Express, and so on. It's the largest luxury travel market in the world. 5% of a very large market is better than 10% of a very small one. The critical mass is substantial. And don't forget the number of U.S. expats living in the Gulf.' 'No Cutbacks, No Delays' Mares' predecessor, Mark DeCocinis, said in 2023 that the first palace would open in 2025. Mares said Boutique Group hasn't faced delays and isn't seeing signs of budget cuts. 'We have our finance plan, our budgets approved, and construction is on time. It's a tight schedule for opening, but a realistic one. Every week will count," he said. 'We've had no cutbacks, no changes, none whatsoever. No delays, no requests to slow down. Everything is full steam ahead for the first palace in Q2 next year.' Phase 2 Growth Plans After the first four properties open, phase two will begin. "We'll have a portfolio together by 2030 for sure - there are other palaces under consideration which we are evaluating. Those are all in Saudi. We have Medinah, Makkah, Taif, so many destinations one could consider where there are unused palaces." "I see myself in Boutique Group for the duration, into phase two. We're considering branded residences and international management agreements for other palaces. We're evaluating if we should do that. We've had a few approaches." What am I looking at? The performance of hotels and short-term rental sector stocks within the ST200. The index includes companies publicly traded across global markets, including international and regional hotel brands, hotel REITs, hotel management companies, alternative accommodations, and timeshares. The Skift Travel 200 (ST200) combines the financial performance of nearly 200 travel companies worth more than a trillion dollars into a single number. See more hotels and short-term rental financial sector performance. Read the full methodology behind the Skift Travel 200.
Yahoo
17-04-2025
- Business
- Yahoo
Luxury hotel brand reimagines historic palace for new high-end property: 'This is their land and heritage'
Part of the beauty of traveling is being able to learn and experience the deep history and culture of the different places you visit. Boutique Group, a Saudi Arabian hospitality company, has set out on a mission to adopt a "responsible luxury" approach that prioritizes environmentally friendly efforts as well as cultural preservation and social commitments. As part of this endeavor, the company is transforming historic and cultural Saudi Arabian palaces into ultra-luxury boutique hotels, Skift reported. One of the palaces the Boutique Group has been working on, for example, is the Red Palace, which the company touts as the first building in Riyadh city (the capital of Saudi Arabia) to be constructed of reinforced concrete — its reddish color inspired the palace's name. This building was used to host many foreign dignitaries and heads of state during their official stays in Saudi Arabia, starting in 1957 and lasting for three decades. After that, it became the headquarters for the Board of Grievances until 2002, according to the Boutique Group. The hospitality company has been working to preserve the structure's foundation and deep roots while transforming the property into a luxury boutique hotel, which, according to Hotel Hospitality Middle East Africa, is projected to open in 2026. Instead of building new hotel structures from the ground up, Boutique Group is reusing and converting existing properties into new commercial spaces, which could save the company time and money on construction costs while conserving natural resources needed for construction. Converting existing structures helps address the problem of new construction's environmental impacts. This "adaptive reuse" model can help revitalize the city while paying homage to the country's rich cultural heritage. On top of these palace conversions, the Boutique Group aims to incorporate cultural wellness offerings onsite, including traditional Saudi healing methods delivered by local healers, per Skift. Additionally, the boutique hotels will feature a rich culinary experience, combining local delicacies and ingredients with world-class cooking techniques by master chefs. The Boutique Group is also investing in local Saudi youth, developing the nation's next tourism talent. "We believe that Saudi youth are the future of this industry — this is their land and heritage, and they are its greatest ambassadors," Boutique Group CEO Christoph Mares said, per Skift. Initiatives like this "responsible luxury" and sustainability model by the Boutique Group are a great example of how large corporations can influence significant environmental change. As another example, the 24/7 Carbon-Free Coalition, featuring major corporations like Google and AstraZeneca, can move the needle on green electricity. Major candy brands — M&M's, Skittles, and Starburst — have committed to 100% recycled plastic for certain packaging, reducing plastic waste. These changes and corporate decisions make a big difference in resource conservation and modern business, which simultaneously pursues prosperity and eco-consciousness. "Our experiences give visitors an opportunity to explore the rich cultural, historic, and geographic tapestries of the regions our palaces call home," said Mares, per Skift. Which of the following sustainable changes would make you most likely to choose a particular airline? Using cleaner fuel Reducing in-flight waste Making it easy to choose low-emissions itineraries I don't pay attention to sustainability when I fly Click your choice to see results and speak your mind. Join our free newsletter for good news and useful tips, and don't miss this cool list of easy ways to help yourself while helping the planet.
Zawya
03-03-2025
- Business
- Zawya
Boutique Group to develop a bespoke Saudi hospitality model to operate historic palaces
RELATED TOPICS CULTURE SAUDI ARABIA TRAVEL AND TOURISM HOSPITALITY RELATED COMPANIES Federal Ministry of Art, Culture, Tourism and Creative Economy RIYADH — The Red Palace in Riyadh is set to open in 2026, making it the first of Boutique Group's luxury hospitality projects to welcome guests. The restoration of the historic site is more than 60% complete, with work progressing on schedule. In an interview with Saudi Gazette, Boutique Group CEO Christoph Mares provided an update on the company's developments, including the progress of Al Hamra Palace and Tuwaiq Palace. He emphasized the company's commitment to preserving Saudi Arabia's cultural heritage while developing a hospitality model rooted in the Kingdom's traditions. Mares said that the company is developing a bespoke operating model rooted in Saudi hospitality traditions, ensuring an authentic and unparalleled guest experience. While Boutique Group's properties will offer exclusive stays within meticulously restored historic palaces, they will also be open for public bookings, allowing broader access to their accommodations, dining, and cultural experiences. Mares also noted that the company is actively exploring opportunities to expand its portfolio of unique, historically significant destinations. Q: Boutique Group was established with a vision to transform Saudi Arabia's historic palaces into luxury hospitality destinations. Can you provide an update on the progress of your current projects? A: Boutique Group is pioneering a new era of ultra-luxury hospitality in Saudi Arabia. We're not simply restoring palaces; we're breathing new life into historical landmarks, creating world-class destinations that celebrate Saudi heritage and culture. Our three announced palaces – Al Hamra Palace, The Red Palace, and Tuwaiq Palace – are all progressing well in their respective development phases. The Red Palace is already over 60% complete, with restoration of this historic landmark well underway, beautifully blending heritage with a contemporary twist. Q: When can we expect the first palace to open its doors to guests? A: The Red Palace in Riyadh will be the first to open its doors and is on schedule to welcome guests in April 2026. We're excited to present this embodiment of homegrown timeless elegance to the local market while simultaneously bringing unmatched Saudi hospitality to the world. This grand opening will represent a true milestone in the transformation of Saudi Arabia's hospitality sector, setting a new benchmark for the country's luxury segment. Q: How do you ensure that these palaces maintain their historical authenticity while delivering world-class service? A: Preserving historical authenticity isn't just a priority; it's the foundation of our entire guest experience. We've assembled a team of experts – architects, historians, artisans, culinary specialists – to meticulously research and document every detail, working closely with the Ministry of Culture to ensure our approach aligns with the highest standards of preservation. There is a deep-rooted respect for authentic Saudi culture weaved throughout every detail of our palaces. This will shine through as a celebration of iconic Saudi hospitality for all our guests. From the architecture and design to the immersive cultural experiences we offer, guests will encounter a true representation of the Kingdom. This deep understanding informs every aspect of our service, from the restoration of the palaces themselves to the curated experiences we offer. We're training Saudi craftspeople in modern techniques while honoring traditional methods, ensuring that the interiors reflect the palaces' rich history. This commitment to authenticity, combined with state-of-the-art amenities and dedicated service, creates an unparalleled guest experience. Q: What is your strategy to attract both international and local high-net-worth travelers to these exclusive properties? A: Today's discerning travelers crave authentic, unique experiences. We offer a gateway to Saudi Arabia's cultural heart, blending the ancient art of Arabian hospitality with modern luxury. We provide transformative journeys, something the world has truly never seen before. For our local guests, we offer a unique opportunity to explore their heritage on a deeper level. This is a one-of-a-kind unveiling of the palace's offerings in culinary and wellness practices that are largely informed by Saudi traditions. At present, there are no other hotels providing this kind of intensive and bespoke cultural immersion. International high-net-worth travelers are increasingly seeking hyper-personalized experiences, and our palaces provide exactly that. We offer novel journeys unlike any other. Guests can leave our palaces with a story to tell the world, one of iconic Saudi history and culture, amidst a luxurious backdrop. We are inviting the world to catch a glimpse into the heart of Saudi heritage that both international and local guests will relish. Q: What unique offerings will set Boutique Group properties apart from global brands like Aman, Four Seasons, or Ritz-Carlton? A: Unlike traditional luxury brands, our focus is on immersive cultural journeys. Guests will enjoy privileged access to culturally significant historical palaces, bespoke culinary experiences reflecting regional flavors, and wellness rituals rooted in ancient Arabian traditions. While other luxury groups offer exceptional service and amenities, Boutique Group provides something truly unique: a deep connection to the heart of Saudi Arabia. Our guests will experience the Kingdom's rich culture and heritage in a way that is simply not possible elsewhere. From exclusive access to historic palaces to immersive cultural experiences, every aspect of a stay with us is designed to create lasting memories and a profound sense of place. Q: Beyond the three announced palaces (Al Hamra, Red Palace, and Tuwaiq), are there plans to transform more historic palaces into luxury hotels? If so, which locations are being considered? A: There are certainly more plans in the pipeline, and Boutique Group is committed to growth. Our immediate focus is on the successful launch of our three flagship palaces: The Red Palace, Tuwaiq Palace, and Al Hamra Palace. However, we recognize the incredible potential to expand our portfolio. While I can't disclose specific details about future projects, we're actively exploring opportunities to expand our portfolio of unique, historically significant destinations. Do stay tuned as we will surely be announcing some exciting news soon. Q: Saudi Arabia has many heritage sites with untapped tourism potential. Do you see Boutique Group expanding beyond palaces to include other historic landmarks? A: Our top priority is preserving and celebrating Saudi Arabia's rich heritage. Currently, our focus is on palaces, each carefully selected for its historical significance and potential to offer a unique guest experience. We must ensure that each location chosen serves a purpose both for Boutique Group and its guests, but also for Saudi Arabia, its citizens, and future generations. Boutique Group is filling a gap in the tourism industry's untapped potential, as our palaces are the first of their kind to debut in Saudi Arabia with such deep roots in cultural immersion. Q: Once these palaces are fully transformed, will Boutique Group operate them directly, or will management be handed over to an international luxury hotel brand? A: Boutique Group's primary objective is to develop, manage, and operate cultural and historical palaces in the Kingdom and transform them into ultra-luxury boutique hotels. We're developing a bespoke operating model rooted in Saudi hospitality traditions, ensuring an authentic and unparalleled guest experience. Not only is this different from other hotel chains around the world, but it also aligns deeply with our values of keeping the traditions that make Saudi Arabia a hub for a special kind of hospitality. It is with this in mind that we continue to foster a hospitality experience that respects the Kingdom's customs – and this is done by operating the palaces ourselves with meticulous detail and care. Q: Given the exclusivity of these properties, will Boutique Group adopt a membership or invitation-only model, or will they be open to public bookings? A: Boutique Group is committed to showcasing Saudi Arabia's instinctive generosity and sharing the timeless elegance of Saudi hospitality with guests from all over the world. Our unique offerings, rooted in authentic Saudi experiences, ensure that anyone seeking true cultural immersion is welcome. While our properties offer exclusive stays within meticulously restored historic palaces, they will be open to public bookings. Beyond the luxurious accommodations, our restaurants, spas, and halls will also be accessible, allowing everyone an opportunity to experience a taste of our unparalleled service and genuine Arabian hospitality. © Copyright 2022 The Saudi Gazette. All Rights Reserved. Provided by SyndiGate Media Inc. (
Saudi Gazette
28-02-2025
- Business
- Saudi Gazette
Boutique Group to develop a bespoke Saudi hospitality model to operate historic palaces
By Anas Alyusuf RIYADH — The Red Palace in Riyadh is set to open in 2026, making it the first of Boutique Group's luxury hospitality projects to welcome guests. The restoration of the historic site is more than 60% complete, with work progressing on schedule. In an interview with Saudi Gazette, Boutique Group CEO Christoph Mares provided an update on the company's developments, including the progress of Al Hamra Palace and Tuwaiq Palace. He emphasized the company's commitment to preserving Saudi Arabia's cultural heritage while developing a hospitality model rooted in the Kingdom's traditions. Mares said that the company is developing a bespoke operating model rooted in Saudi hospitality traditions, ensuring an authentic and unparalleled guest experience. While Boutique Group's properties will offer exclusive stays within meticulously restored historic palaces, they will also be open for public bookings, allowing broader access to their accommodations, dining, and cultural experiences. Mares also noted that the company is actively exploring opportunities to expand its portfolio of unique, historically significant destinations. Q: Boutique Group was established with a vision to transform Saudi Arabia's historic palaces into luxury hospitality destinations. Can you provide an update on the progress of your current projects? A: Boutique Group is pioneering a new era of ultra-luxury hospitality in Saudi Arabia. We're not simply restoring palaces; we're breathing new life into historical landmarks, creating world-class destinations that celebrate Saudi heritage and culture. Our three announced palaces – Al Hamra Palace, The Red Palace, and Tuwaiq Palace – are all progressing well in their respective development phases. The Red Palace is already over 60% complete, with restoration of this historic landmark well underway, beautifully blending heritage with a contemporary twist. Q: When can we expect the first palace to open its doors to guests? A: The Red Palace in Riyadh will be the first to open its doors and is on schedule to welcome guests in April 2026. We're excited to present this embodiment of homegrown timeless elegance to the local market while simultaneously bringing unmatched Saudi hospitality to the world. This grand opening will represent a true milestone in the transformation of Saudi Arabia's hospitality sector, setting a new benchmark for the country's luxury segment. Q: How do you ensure that these palaces maintain their historical authenticity while delivering world-class service? A: Preserving historical authenticity isn't just a priority; it's the foundation of our entire guest experience. We've assembled a team of experts – architects, historians, artisans, culinary specialists – to meticulously research and document every detail, working closely with the Ministry of Culture to ensure our approach aligns with the highest standards of preservation. There is a deep-rooted respect for authentic Saudi culture weaved throughout every detail of our palaces. This will shine through as a celebration of iconic Saudi hospitality for all our guests. From the architecture and design to the immersive cultural experiences we offer, guests will encounter a true representation of the Kingdom. This deep understanding informs every aspect of our service, from the restoration of the palaces themselves to the curated experiences we offer. We're training Saudi craftspeople in modern techniques while honoring traditional methods, ensuring that the interiors reflect the palaces' rich history. This commitment to authenticity, combined with state-of-the-art amenities and dedicated service, creates an unparalleled guest experience. Q: What is your strategy to attract both international and local high-net-worth travelers to these exclusive properties? A: Today's discerning travelers crave authentic, unique experiences. We offer a gateway to Saudi Arabia's cultural heart, blending the ancient art of Arabian hospitality with modern luxury. We provide transformative journeys, something the world has truly never seen before. For our local guests, we offer a unique opportunity to explore their heritage on a deeper level. This is a one-of-a-kind unveiling of the palace's offerings in culinary and wellness practices that are largely informed by Saudi traditions. At present, there are no other hotels providing this kind of intensive and bespoke cultural immersion. International high-net-worth travelers are increasingly seeking hyper-personalized experiences, and our palaces provide exactly that. We offer novel journeys unlike any other. Guests can leave our palaces with a story to tell the world, one of iconic Saudi history and culture, amidst a luxurious backdrop. We are inviting the world to catch a glimpse into the heart of Saudi heritage that both international and local guests will relish. Q: What unique offerings will set Boutique Group properties apart from global brands like Aman, Four Seasons, or Ritz-Carlton? A: Unlike traditional luxury brands, our focus is on immersive cultural journeys. Guests will enjoy privileged access to culturally significant historical palaces, bespoke culinary experiences reflecting regional flavors, and wellness rituals rooted in ancient Arabian traditions. While other luxury groups offer exceptional service and amenities, Boutique Group provides something truly unique: a deep connection to the heart of Saudi Arabia. Our guests will experience the Kingdom's rich culture and heritage in a way that is simply not possible elsewhere. From exclusive access to historic palaces to immersive cultural experiences, every aspect of a stay with us is designed to create lasting memories and a profound sense of place. Q: Beyond the three announced palaces (Al Hamra, Red Palace, and Tuwaiq), are there plans to transform more historic palaces into luxury hotels? If so, which locations are being considered? A: There are certainly more plans in the pipeline, and Boutique Group is committed to growth. Our immediate focus is on the successful launch of our three flagship palaces: The Red Palace, Tuwaiq Palace, and Al Hamra Palace. However, we recognize the incredible potential to expand our portfolio. While I can't disclose specific details about future projects, we're actively exploring opportunities to expand our portfolio of unique, historically significant destinations. Do stay tuned as we will surely be announcing some exciting news soon. Q: Saudi Arabia has many heritage sites with untapped tourism potential. Do you see Boutique Group expanding beyond palaces to include other historic landmarks? A: Our top priority is preserving and celebrating Saudi Arabia's rich heritage. Currently, our focus is on palaces, each carefully selected for its historical significance and potential to offer a unique guest experience. We must ensure that each location chosen serves a purpose both for Boutique Group and its guests, but also for Saudi Arabia, its citizens, and future generations. Boutique Group is filling a gap in the tourism industry's untapped potential, as our palaces are the first of their kind to debut in Saudi Arabia with such deep roots in cultural immersion. Q: Once these palaces are fully transformed, will Boutique Group operate them directly, or will management be handed over to an international luxury hotel brand? A: Boutique Group's primary objective is to develop, manage, and operate cultural and historical palaces in the Kingdom and transform them into ultra-luxury boutique hotels. We're developing a bespoke operating model rooted in Saudi hospitality traditions, ensuring an authentic and unparalleled guest experience. Not only is this different from other hotel chains around the world, but it also aligns deeply with our values of keeping the traditions that make Saudi Arabia a hub for a special kind of hospitality. It is with this in mind that we continue to foster a hospitality experience that respects the Kingdom's customs – and this is done by operating the palaces ourselves with meticulous detail and care. Q: Given the exclusivity of these properties, will Boutique Group adopt a membership or invitation-only model, or will they be open to public bookings? A: Boutique Group is committed to showcasing Saudi Arabia's instinctive generosity and sharing the timeless elegance of Saudi hospitality with guests from all over the world. Our unique offerings, rooted in authentic Saudi experiences, ensure that anyone seeking true cultural immersion is welcome. While our properties offer exclusive stays within meticulously restored historic palaces, they will be open to public bookings. Beyond the luxurious accommodations, our restaurants, spas, and halls will also be accessible, allowing everyone an opportunity to experience a taste of our unparalleled service and genuine Arabian hospitality.
Arabian Business
11-02-2025
- Business
- Arabian Business
Saudi's Boutique Group plans to triple luxury palace hotel portfolio, eyes global expansion
Saudi Arabia's Boutique Group is planning to potentially triple its palace hotel portfolio by 2030 and eyeing international expansion opportunities, as the luxury hospitality company seeks to establish itself as a global cultural heritage brand. The Public Investment Fund-owned company is evaluating several additional palaces for conversion into luxury hotels, with plans to expand beyond its current three announced projects, Chief Executive Officer Christoph Mares said in an interview with Arabian Business. 'A doubling, possibly tripling until 2030 of the first three is a very good possibility,' Mares said. The expansion plans are currently under review by the board of directors. The company, which currently has three palace projects in development including the flagship Red Palace in Riyadh, is also exploring opportunities to export its palace-to-hotel conversion expertise to other markets, particularly in Europe where historic properties face maintenance and viability challenges. Mares highlighted potential opportunities in European landmarks, suggesting that such properties might need to consider new operating models to remain sustainable and become profitable. 'When you look at Europe, maybe you have a lot of palaces. They have more palaces than they know what to do with,' Mares said. 'It's not being maintained, it doesn't make any money, insurances, etc. It doesn't have the vibrancy that they potentially should have.' The CEO specifically pointed to Buckingham Palace's current operational model, suggesting that maintaining large sections of such properties for limited public access might become unsustainable. 'Prince Charles [is] looking very carefully what he should be doing with Buckingham Palace, where nobody is anymore, because the fortune to maintain it in the heart of the city.' However, Mares emphasised that international expansion would only be considered after establishing a strong track record in Saudi Arabia. 'Let's learn how to do it really well at home, and then we can talk about that next. But it is a consideration,' he said. The company is also exploring potential diversification into other luxury hospitality segments, including branded residences and luxury trains. 'The first thing that would come to my mind as a natural extension would be possibly very sophisticated, very elegant and historic framework, maybe of service and branded residences,' Mares said. Boutique Group's current portfolio includes the Red Palace, Al Hamra Palace in Jeddah, and Tuwaiq Palace in Riyadh's Diplomatic Quarter. The Red Palace project, which is more than 60 per cent complete, will feature approximately 70-100 keys and is scheduled to open in April 2026. The expansion plans are supported by what Mares described as 'patient and generous shareholders,' referring to the Public Investment Fund, Saudi Arabia's sovereign wealth fund. 'Their support and their drive and their passion and their patience, most importantly in these kind of projects, has been exemplary,' he said. The company expects to create approximately 1,000 jobs across its three announced projects, including corporate and individual property leadership teams. The expansion is part of Saudi Arabia's broader Vision 2030 initiative to develop its tourism sector and diversify the economy away from oil. Mares, who joined Boutique Group in January 2025 after nearly 25 years at Mandarin Oriental Hotel Group, said the company's focus on cultural heritage and luxury hospitality creates a unique proposition that could resonate globally. 'These are brands that have been in existence over decades, over hundreds of years,' Mares said, acknowledging the challenge of establishing a new luxury brand. 'We will be able to break into this sphere, I would think, with time and support and great relationship and marketing and execution.'
