UK-based Intercontinental Hotel Group (IHG) has signed an agreement with a local firm to build and operate hotels in Kuwait.

The agreement was signed with Bukhamseen Group Holding Company and will mean that all IHG brands in Kuwait can only be developed by the two companies.

Bukhamseen Group signed the a 10-year term agreement that covers six IHG brands including InterContinental Hotels and Resorts, Crowne Plaza, Holiday Inn, Holiday Inn Resort, Holiday Inn Express and Staybridge Suites.

IHG currently operates three hotels in Kuwait in partnership with Bukhamseen Group - Crowne Plaza Al-Thuraya City, Holiday Inn Al-Thuraya City and Holiday Inn Salmiya.

Other key hospitality projects in Kuwait include the $700m Al-Khiran project near Kuwait City.

The 350,000-square-metre development will comprise a 300-boat marina, two residential towers, a hotel apartment tower, a hotel and a 75,000-sq-m outlet mall.

The development, which will be built as part of the third phase of the 6.4 million-sq-m Sabah al-Ahmed Sea City, is scheduled to be completed by 2019.

RTKL has been appointed the lead architect on the project, while US-based PWP is working as the landscape architect for the outdoor garden that will be part of the development.

Infrastructure and road networks in the area are already complete.