The First Group Hospitality enters Ethiopia with multi-hotel agreement
The First Group Hospitality has taken a significant step in its international expansion strategy, signing a master agreement with Ethiopia’s MIDROC Investment Group to develop and operate 10 hotels across the country.
Announced at the Future Hospitality Summit Africa in Nairobi, the deal represents the company’s largest move beyond its Dubai base to date and its first major entry into sub-Saharan Africa.
With a pipeline of approximately 1,140 keys across multiple destinations, the agreement marks the beginning of an exciting new phase for the firm, extending its proven operating model into high-growth international markets.
Building on track-record of success in Dubai
The expansion builds on a strong track record established in Dubai, where The First Group Hospitality owns and manages a rapidly expanding portfolio of award-winning lifestyle hotels across the city.
Operating in Dubai’s highly competitive hospitality market has provided a solid foundation. Landmark developments such as Ciel Dubai Marina, Vignette Collection by IHG – officially recognised by Guinness World Records as the world’s tallest hotel – have reinforced the company’s credentials as both a developer and operator.
Successful strategic partnerships with global brands including Marriott International, IHG Hotels & Resorts and Radisson Hotel Group have further strengthened its position.
Why Ethiopia presents a compelling growth opportunity
Ethiopia is recognised as one of East Africa’s most promising hospitality markets. With a population exceeding 120 million and a record of sustained economic growth, the country offers strong long-term demand across both business and leisure segments.
Addis Ababa plays a central role, serving as a major diplomatic and commercial hub and hosting the African Union, alongside a growing number of international organisations. At the same time, secondary cities such as Hawassa and Bahir Dar are benefiting from infrastructure investment and rising domestic tourism.
Still, the country remains relatively underserved in terms of international hotel brands, particularly outside the capital. This creates a clear opportunity for experienced operators such as The First Group Hospitality to introduce high-quality, professionally managed properties to the market.
A partnership defined by scale and strategic reach
The agreement calls for the development of 10 hotels located in key urban and gateway destinations, including Addis Ababa, Hawassa, Bahir Dar, Jimma, Langano and Danbi, with openings phased between 2026 and 2031.
The portfolio will include a mix of independent and internationally branded properties, including Marriott-affiliated hotels, allowing for a flexible approach to positioning across different market segments.
This combination of scale, diversification and phased delivery provides a structured pathway for growth, enabling the partners to meet rising demand in key locations across the country while delivering world-class guest services.
Importantly, it also enables The First Group to gain a strong foothold in a market widely expected to see rapid growth in the coming decade.
International experience meets local expertise
A key strength of the agreement lies in its partnership structure. MIDROC Investment Group is one of Ethiopia’s most established business groups, with existing interests in hospitality and a strong track record of delivering major projects.
Its local expertise complements The First Group Hospitality’s vast hospitality experience, providing valuable insight into Ethiopia’s unique market dynamics, regulatory frameworks and development processes.
This alignment between international standards and local knowledge is essential in fast-growing emerging markets, helping to ensure projects are well-executed and responsive to local demand.
Positioning for the next phase of international growth
The expansion into Ethiopia marks a clear step forward in The First Group Hospitality’s evolution as one of the region’s fastest-growing hotel operators.
At the core of this strategy is a scalable, partnership-led approach that allows the company to adapt to different markets while maintaining a consistent standard of delivery. By combining operational expertise with a flexible model, the company is perfectly positioned to respond to opportunities in high-growth destinations with both speed and precision.
Importantly, the move signals a shift from a single-market focus to a more diversified growth strategy – one that is aligned with emerging global travel patterns and the increasing importance of new destination markets.
As The First Group Hospitality’s expansion gathers pace, this approach positions it to build a broader international footprint while continuing to deliver the performance and quality that has established it as one of Dubai’s most successful hotel operators.
As David Thomson, Senior Vice President – Development, notes: “Ethiopia represents one of the most compelling hospitality growth markets in East Africa, supported by ongoing investment in tourism and infrastructure.
“Our agreement with MIDROC Investment Group allows us to establish a substantial footprint in the market alongside a partner with deep local expertise, while delivering high-performing assets and creating long-term value across key destinations.”
