Business

Muriya plans 1,000-room Oman expansion

Developer says As Sodah construction is advancing, with more than $25m already invested and at least $65m still to come

The island project is not new. Muriya had previously put its planned development at around $100 million and said in 2024 that the project was back on track following delays.
 
The island project is not new. Muriya had previously put its planned development at around $100 million and said in 2024 that the project was back on track following delays.

SALALAH: Muriya plans to add around 1,000 hotel rooms at Hawana Salalah and Jebel Sifah over the next three to five years, setting out one of its largest new hospitality expansion programmes in Oman in recent years.
The developer also disclosed fresh details on the progress of As Sodah Island off Dhofar, saying more than $25 million has already been invested in infrastructure and construction and at least another $65 million is expected to follow.
That would take investment associated with the island development beyond $90 million.
The new figures provide a clearer indication of capital being deployed across Muriya’s Omani portfolio as the company moves ahead simultaneously with projects in Dhofar and Muscat Governorates.
Muriya is a partnership between Orascom Development and Oman Tourism Development Company (OMRAN Group). It said cumulative investment in Oman has now exceeded $750 million.
At Hawana Salalah, the first phase of the Amazi residential development is close to 80 per cent complete and remains on schedule for handover in the first quarter of 2027. The Lubana Islands development is also in the pipeline.
New development phases are meanwhile progressing at Jebel Sifah.
The proposed 1,000 additional hotel rooms across Hawana Salalah and Jebel Sifah would significantly expand Muriya’s hospitality footprint in the Sultanate of Oman and add accommodation capacity at two of the country’s established integrated tourism destinations.
Hawana Salalah already represents one of Dhofar’s largest concentrations of resort accommodation. Muriya’s earlier developments there introduced more than 1,000 hotel rooms through properties including Salalah Rotana Resort, Fanar Hotel & Residences and Juweira Boutique Hotel.
The latest announcement therefore points to a new cycle of hotel development beyond much of the accommodation capacity delivered during Muriya’s earlier expansion.
In Dhofar, attention is also returning to As Sodah Island.
The island project is not new. Muriya had previously put its planned development at around $100 million and said in 2024 that the project was back on track following delays.
The latest disclosure goes further by identifying actual expenditure on the project and the additional capital expected to be deployed.
Muriya said construction is progressing with financing supported by shareholder capital and institutional backing rather than depending on off-plan property sales.
That funding structure is significant for a large tourism development because it indicates that construction expenditure is being committed ahead of property sales.
Naguib Sawiris, Chairman of Orascom Development, said the group’s continued investment reflected its long-term approach to Oman.
Muriya CEO Ashraf Nessim said projects across Salalah, Sifah and As Sodah had continued to advance.
The additional hotel pipeline comes as Oman seeks to expand tourism’s role in economic diversification while increasing private investment in accommodation, destination development and supporting infrastructure.
For Dhofar in particular, the latest programme would add to a broader pipeline of tourism investment aimed at expanding accommodation beyond the highly seasonal Khareef market and strengthening Salalah’s position as a year-round destination.