An Interview with Dur CEO Mr. Sultan bin Badr Al-Otaibi
Founded in 1976, Dur Hospitality is recognized for managing, developing, and operating hotels and residential complexes in Saudi Arabia. Dur Hospitality’s diversified portfolio includes 29 properties and 17 new hotel and residential projects under development.
Dur Hospitality became one of the first companies to introduce the concept of five-star hospitality to the Kingdom. Nowadays, the company owns and operates several hotels throughout the Kingdom. It is also the first company in the Kingdom to establish the Saudi hotel brand Makarem, operating in the holy cities of Makkah and Madinah. The award-winning local brand specializes in providing authentic Saudi hospitality services following international standards.
Building on its hospitality operations and asset management expertise, Dur has expanded its efforts on developing the residential sector by acquiring and managing a selected portfolio of high-tech projects with hospitality-focused services.
Darraq Residences is one of the largest luxury residential projects of Dur Hospitality. Located in the Diplomatic Quarter. Darraq Residences encompasses residential units, including villas and fully furnished apartments. In addition to apartments, Darraq Residences offers outstanding public facilities, parks, sports clubs, schools, private health and recreation centers.
For over four decades, the professional team of Dur Hospitality delivers outstanding projects spanning the entire experience from concept to design, construction, and operation. Dur CEO Mr. Sultan bin Badr Al-Otaibi discusses with us what makes Dur successful and what their next projects are.
Dur Hospitality has over four decades of experience in the development and operation of hotels and residential complexes. What is your vision for the next four decades?
As a Saudi-based company, we understand the market intimately, which ensures our hospitality offerings meet market demand. We also understand the socio-economic changes taking place in the country, which is undergoing rapid transformation and modernization, and continue to evolve and adapt to these changes, responding to with the introduction of new and innovative hospitality concepts.
Dur Hospitality has adopted a strategic direction built on the expansion and rapid development of properties and offerings presented to a wide range of visitors coming for leisure, business, or pilgrimage, in line with the Kingdom’s ambitious targets outlined by Vision 2030 pertaining to the tourism industry.
The company continues to focus on developing its group of hotels, some of which will be managed under international brands in several key cities, while Dur’s subsidiary brands will operate others, all of which pair unique Saudi hospitality values with the highest international standards. We are pursuing the strategic expansion of our current property portfolio and the development of luxurious residential compounds in prime locations, such as Darraq , one of the prime projects in our portfolio having 428 units in the Diplomatic Quarter.
In addition to especially dedicating operations to expanding the portfolio of the Makarem brand catering to Makkah and Madinah markets, with the aims to achieve up to 10,000 rooms by 2028. Likewise, Dur seeks to expand its other brands such as “Shada”, specializing in serviced apartments and medium-sized hotels sector, targeting 3,400 rooms by 2025.
Holistically, Dur seeks to develop a business model that raises efficiency and builds capacity to support its expansion plans and enhance its profitability while adopting the best technical standards and quality management systems to continually develop its offerings to be on par with top global standards.
Please discuss the idea of “Authentic Saudi Hospitality” for Dur employees and customers.
Saudi Arabian hospitality and generosity are globally famous and form a significant part of our local culture and heritage. When visitors arrive in the Kingdom, they look forward to enjoying an array of unique and brilliant local experiences. To ensure this, we proudly embrace authentic Saudi values and infuse them into every aspect of our services and at every level of our organizational structure to reflect a local yet modern spirit to our guests and offer them an unmatched and memorable experience and a sense of hospitality that makes them feel at home visiting the Kingdom.
DARRAQ Residencies in DQ is one of the most significant luxury projects. What is the possibility of implementing more reasonable residential complexes by Dur?
Dur understands the necessity of presenting a diverse and attractive portfolio of properties and hospitality offerings that fulfill guests’ different needs and preferences. We continue to invest in all kinds of accommodation options through a rich lineup of specialty brands, including Shada hotels, Dara serviced apartments, Darraq luxury residences, and Makarem Hotels. Many of our projects are still under development to ensure they offer the ideal level of service once they are fully developed and open to guests. A new luxurious residential project is under development, consisting of 78 Villas on King Khaled’s Road and with a close proximity to the north gate of DQ.
Whether Marriott Hotel DQ, Marriott Executive Apartments DQ, or Darraq, what made you bring up those properties in the DQ?
The first phase of Darraq was initially built 23 years ago. Under the name of “Future homes”. Our aim was to build high end residences inside the Diplomatic Quarters. This project was supported by custodian of the two holy mosques King Salman Bin Abdulaziz during his tenure as the Chairman of The Royal Commission for Riyadh City (RCRC).
We kept on expanding our Darraq portfolio year after year. The project now includes 428 fancy housing units featured by their architecture, high quality construction, and smart homes systems.
We weren’t planning on building a compound as much as we were planning to build a community inside the Diplomatic Quarter to align with The Quality of Life Program – one of the Saudi Vision 2030 realization programs with a general aim of improving the individual’s lifestyle in Saudi Arabia.
As for Marriott DQ, we wanted to create and develop a residential piece of art in this prime location, a hotel with an innovative design inspired by the geological layers of Wadi Hanifa. Marriott Hotel DQ is the first golden LEED certified hotel in Saudi Arabia. A modern yet authentic experience with elegance that encapsulates the rich heritage of the region in a contemporary expression.
Moreover, more than 600 locally sourced art adorns the hotel interiors, with paintings, sculptures, and photographs contributed by 14 talented and renowned Saudi artists. Public spaces have been carefully constructed to be bright and spacious, and are enhanced by lavish skylights that allow in substantial natural light throughout the day.
The major DQ advantage is security and privacy. The gated entrances of the area assure safe keeping and the entrance of residents and employees only. DQ is also a beautifully landscaped area with a number of parks. A footpath surrounds the area, which meanders through quaint grottos & gardens complete with sun shading & interesting water features. On the western side the footpath overlooks Wadi Hanifah with its many palm groves & farms. Very pleasant for evening & weekend strolls. DQ has facilities, clubs, parks, greenery and other aspects that entice residents to be part of this.
Please elaborate on Makarem Hotels concept. When do you believe this brand will enter the international market and create a chain of hotels worldwide?
Dur’s Makarem brand is specialized in serving the pilgrims of Makkah and Madinah visiting for Hajj and Umrah, a vast market unique to Saudi Arabia alone. Its model has been developed to serve this one-of-a-kind market with immense potential and opportunity. Makkah’s hotels alone account for more than a whopping 64 percent of the Saudi hospitality sector, and a significant portion of Saudi Arabia’s hotel pipeline activity is concentrated in the holy city, with 28,052 rooms under development in the holy cities, Makarem seeks to expand its portfolio to encompass 10,000 rooms by 2028.
With twenty years of experience in hospitality, what will be your remarks about changing client’s needs? How does Dur Hospitality predict market demands?
During my years of serving in the hospitality sector, the market has witnessed continual changes with the emergence of new technologies and the reshaping of customer expectations. At Dur, we realize the vitality of adopting a flexible and dynamic approach to shape our strategies. For instance, COVID-19 has radically impacted guest preferences regarding hospitality offerings due to shifting perceptions of personal space, safety, and hygiene. Such impact is here to stay, and we as hospitality providers need to adapt and cater to those changes to be relevant in the market over the coming phase and beyond.
Moreover, and in line with the significant level of innovation and technological progress in Saudi Arabia, we are leading Dur to devise and implement a strategy to achieve comprehensive digital transformation and develop a business model that maximizes efficiency, leverages resources, adopts the best technical standards.
What is your definition of ‘leadership’ and ‘win-win’ collaboration both with Dur employees and international partners?
Our leadership approach is demonstrated by a high level of support and nurturing offered to all our employees and teams, especially during challenging times and unprecedented circumstances. We strive to maintain the best working environment and ensure employee satisfaction, productivity, and inclusivity at every level of our operations. We also continually foster the growth of our teams through training and development opportunities aligned with the market’s developments and needs.
I have learned over the years many lessons about leadership. They include:
▪ Listening: to what your peers and colleagues have to say. Listen to their opinions and ideas.
▪ Our people are our greatest asset. This is a belief shared by all of the entities in which I am involved in. Therefore education, training and employee satisfaction is key.
▪ Empowerment: empower your staff to make decisions. Adopt an egalitarian approach, not a dictatorship.
▪ Pick a good team: you and your business are only as good as the managers you recruit and delegate to.
▪ Motivate staff: this is crucial to the success of your business – and challenge them too. Respect and kindness go a long way: without them, you as a leader lose respect.
Furthermore, as market leaders in the Kingdom, we provide our partners with significant investment and cooperation opportunities to grow their businesses, especially in light of the critical developments taking place under Vision 2030 that are set to position the Saudi hospitality industry at the forefront of the regional and global hospitality sectors.
