Sovereign Hospitality Holdings to develop urban resort in Tripoli, Libya with InterContinental Hotels Group

The development will feature the 4 star Holiday Inn Tripoli Hotel, as well as real estate opportunities, and is due to open in 2011. Sovereign Hospitality Holdings will invest in excess of $130m in this project.

The Sidi Al Abdalus site is located on the Mediterranean coast in the eastern suburb of Tajurra in Tripoli. The resort will feature a 1.4km beach front with clean, clear water ideal for swimming and water sports. A private beach club and water sport facilities will be developed to a 5 star standard.

In addition to the 252 room Holiday Inn property, 100 villas and apartments serviced by Holiday Inn will be available for both long and short term occupancy. A high quality shopping complex, food court featuring international brand food franchises, convention centre and spa will be incorporated to support this development.

Mohamed Fahmy, Chief Executive of Sovereign Hospitality Holdings commented:

"Libya is a peaceful North African country enjoying buoyant economic conditions as its natural resources assets are fully developed. This project represents a rewarding investment opportunity for Sovereign Hospitality Holdings, who will be poised to take advantage of a young, growing local hospitality market. This project reflects Sovereign Hospitality Holdings' dynamic approach to investment in the hospitality sector and their ability to grow their portfolio through strategic and high yield opportunities. Sovereign Hospitality Holdings is committed to corporate social responsibility and its execution of this project will generate more than 700 direct and 4,000 indirect employment opportunities."

Sovereign Hospitality Holdings has partnered with InterContinental Hotels Group on various projects* and looks forward to continuing their mutually beneficial relationship with this development in Libya," concluded Mr, Fahmy,"

Commenting on the announcement, John Bamsey, Chief Operating Officer, IHG, Middle East and Africa said: "Sovereign Hospitality Holdings is a key partner of ours and this development represents our fourth project together, further solidifying our business relationship and commercial objectives. This new project will put IHG in a favourable position to operate successfully in the Libyan tourism and business service sector and confirms our strong development strategy and faith in the promising future of Libya."

"This will be the first Holiday Inn to enter Libya, highlighting the country's growing demand for quality accommodation. IHG is a strong advocate for helping to drive and sustain development within the markets it operates, particularly through supporting the local culture and recruiting and developing local talent through our internal employee development programmes."