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The facility will be managed and operated by the international hotel firm Radisson Blu.
The hotel comes as part of a tourism project in Saudi Eastern Province's largest governorate, the Saudi Press Agency reported.
The project's annual gross domestic product is expected to be as much as SR42 million ($11.2 million)i, the TDF announced on Twitter.
The hotel will provide more than 180 hotel rooms and nearly 400 job opportunities, it said.
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