Laws in Saudi Arabia do not allow the mixing of sexes in public places, posing a number of obstacles for business women. Until January 2008, women were not allowed to stay in a hotel or book a room without being accompanied by their male guardian.
"This important project comes in line with the government's support for investment projects in all sectors and its encouragement to women to take part in the development process," said Prince Sultan bin Salman, secretary-general of the Supreme Commission for Tourism.
Apart from 25 lavish suites and rooms, the Luthan Spa and Hotel also offers restaurants, conference halls, lounges and a number of spa and fitness facilities. Women, who decide to stay at the hotel, need no written permission from their male guardian or boss.
The initiative was put forward and implemented by a group of Saudi Arabian business women, led by Princess Madawi Bint Mohammad Bin Abdullah.
Concerned about its image abroad and the world's lowest percentage of employed women, Saudi Arabian authorities have recently adopted a law, which says that women only need to register at a local police station, show their passport and permission from a male guardian, to be allowed to stay at a hotel.
Women make up around half of the Saudi population of nearly 28 million, including 5.5 million foreign residents, but only 10% of the five million women of working age are employed. The Kingdom has the lowest percentage in the world - just 5.5% - of women in the workforce.
King Abdullah has pledged to introduce other legislation to improve the lives of Saudi women, such as lifting the "driving ban," as soon as the country's ultra-conservative society is ready.
