Indonesia's Danantara completes $533m Makkah hospitality acquisition
The sovereign wealth fund acquired a 1,461-room Novotel and 14 development plots at Thakher Makkah.
Indonesia's sovereign wealth fund Danantara Indonesia completed a 2 billion riyal ($533 million) acquisition of hospitality assets at Thakher Makkah on an undisclosed date in October 2026. The transaction was executed through Danantara Investment Management and covers a 1,461-room Novotel hotel and 14 adjoining development plots. Thakher Development, the master developer, handed over ownership documents for the assets located 1.2 kilometers north of the Grand Mosque.
Acquired assets and development capacity#
The acquisition includes the operating Novotel Thakher Makkah Hotel with 1,461 rooms and 14 development plots. The plots are planned to accommodate 6,000 additional hotel rooms, according to Arabian Business. Thakher Makkah is an urban development project north of Masjid al-Haram. Al-Monitor reported the transaction value as 2 billion Saudi riyals, equivalent to $531.4 million, while Arabian Business stated $533 million.
Transaction structure and parties#
Danantara Indonesia executed the acquisition through its investment arm, Danantara Investment Management. Thakher Development served as the master developer and transferring party. Faisal Shaker, CEO of Thakher Development, confirmed the handover of ownership documents in a company press release. The transaction was denominated in Saudi riyals at 2 billion SAR.
Development location and proximity#
The acquired assets sit within Thakher Makkah, positioned 1.2 kilometers north of the Grand Mosque. The 14 plots adjoining the Novotel hotel provide land for the planned 6,000-room expansion. No timeline for the additional room development was disclosed in the available sources. The ownership certificates were received by Danantara Indonesia, completing the transfer.
Ownership transfer completion#
Danantara Indonesia received ownership certificates for the real estate assets from Thakher Development. The sovereign wealth fund now holds the Novotel hotel and the development plots through its investment management entity. No further acquisition plans were disclosed in the sources reviewed. The handover completed the property transfer at the Thakher Makkah development.
Sources2 sources across 2 domains
- arabianbusiness.comArabian BusinessTransaction value of $533 million, 1,461-room Novotel, and plans for 6,000 additional rooms
- al-monitor.comAl-MonitorTransaction value of 2 billion riyal ($531.4 million), ownership certificates received, location 1.2 kilometers north of Grand Mosque, 14 development plots, and Faisal Shaker quote
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