UAE: Dubai-based investment firm EIGHTClouds has invested $10 million in Next’House, a luxury hostel brand, for its expansion in the GCC.
Founded in 2022, the hostel brand operates six properties in Dubai offering 178 beds across private and shared accommodations, with plans to triple its bed capacity.
Next’House focuses on community-oriented spaces for digital nomads, freelancers and travellers and has an annual guest count of 10,000.
Its new Dubai location will combine coliving spaces, private rooms and communal work areas with high-speed internet.
Next’House said it has identified multiple expansion opportunities in the UAE, including additional locations in Dubai and Abu Dhabi. The brand also has plans to establish sites in Saudi Arabia, Oman and Qatar.
Writing on LinkedIn, CEO of Next’House Rayan Hanna said that with funding now in place, the company is focussed on “finding the right assets to repurpose” under the Next’House brand.
The partnership with EIGHTClouds also includes collaborations with other EIGHTClouds-backed brands, such as grooming business Chaps and Co and cafe chain MORE café, alongside potential partnerships with local businesses to enhance guest experiences.
Oliver Wall, director of investments at EIGHTClouds, said: “The UAE, and in particular Dubai, is crying out for a nomadic style of accommodation that caters to remote workers. The hotel market is deeply saturated, particularly with high-end hotels targeting tourists. Short-term accommodation providers typically are expensive and provide no additional services. Next’House provides coworking spaces, health and fitness facilities, as well as on-site restaurants and cafes to host meetings and make new connections.