A desert retreat lit by 1738 candles - this Arabian oasis is like nowhere else

"Look, there are the penthouses," says our pilot, as we drift towards a sandstone outcrop with rectangular tombs chiselled into its summit. In every direction, a Lawrence of Arabia landscape unfurls to the horizon - a valley of sand flanked by soaring, rust-red escarpments with a verdant palm tree-lined oasis and thousands of weathered rock formations. Aside from the intermittent roar of the hot air balloon's burner, it's still, silent and mesmerisingly serene.

Created by the Nabateans, an ancient civilisation that also produced the extraordinary rock-hewn city of Petra in Jordan, 580 kilometres to the north, this dramatic collection of 2000-year-old tombs became Saudi Arabia's first UNESCO World Heritage site in 2008. Collectively known as Hegra, it's one of several historical attractions at AlUla, an ambitious development that hopes to transform this storied sand-scape into a high-end desert playground.

Since opening to the world in 2019, Saudi Arabia has made no secret of its plans to transition from a country dependent on oil to one supported by tourism. AlUla is just one of several "giga projects" outlined in Vision 2030, an audacious plan that hopes to attract 150 million tourists a year by 2030.

Whether it succeeds or not will depend as much on its ability to change people's perceptions as it will on what it builds. The country's human rights violations are well-documented but an increasingly progressive outlook means that change is afoot.

My personal view is that tourism and the extra scrutiny it will bring can only be positive. Plus, I'm intrigued. After all, how often do you get to visit somewhere that's been shut off from the rest of the world for centuries? A mystical place full of difference and contrast that's undergoing an unprecedented period of change. Isn't that what travel is all about?

While Western tourists are a relatively new phenomena, Saudi Arabia has been hosting travellers and pilgrims for millennia. It's thought there's been permanent human habitation at AlUla since the 5th century BC and the town was a key stopover on both the incense trading route and the pilgrimage path to Makkah.

The most obvious remnant of this is Old Town, a collection of more than 900 mudbrick houses connected by a tangle of narrow alleyways. Abandoned in the 1980s, the 800-year-old settlement has recently gone through a major four-year restoration and is now home to one of AlUla's most evocative hotels: Dar Tantora.

Opened in May, the property has transformed 30 of the houses into hotel rooms. Every space is different, but all feature a tactile medley of textured walls, handwoven rugs and original wooden doors. Many feature colourful decorative friezes painted by their former owners together with authentic local artworks and traditional Arabian artefacts.

While it has all the expected trappings of a luxury boutique hotel - outdoor pool, spa, gym and sophisticated Spanish-influenced restaurant - one thing you won't find is electricity. Apart from a light in the bathroom, all the rooms and passageways are illuminated by candles - 1738 to be precise, which are lit every night by an army of staff. Returning to the property after dark is like entering an Arabian fairy tale, a flickering labyrinth infused with the heady scents of vanilla, coffee and rose.

Of course, no electricity also means no air conditioning, which will be a challenge during Saudi's furnace-like summers, and getting dressed by the light of an iPhone torch for a sunrise balloon flight is an interesting endeavour.

Dar Tantora is the latest instalment in a series of high-end properties that are clearly targeting the discerning, affluent traveller. Stunning desert resorts by Banyan Tree and Our Habitas will soon be joined by similarly premium offerings from Chedi and Aman. While there's a merciful absence of the cavernous malls and blinged-up skyscrapers that blight Dubai and Abu Dhabi, there's no shortage of bold initiatives.

Near Banyan Tree is Maraya, the world's largest mirrored concert hall, which has hosted performances by Alicia Keys and Mariah Carey. From a distance, it looks like a mirage, a CGI-generated apparition that's been Photoshopped into a desert film set. Up close, it's equally captivating and - as I soon discover - completely impossible to capture in a selfie.

Predictably, Western brands are tripping over themselves to get in on the action. Alongside a high-end restaurant by French celebrity chef Alain Ducasse are outposts of Starbucks, Tim Hortons and Burger King.

Fortunately, there are more authentic offerings too, such as Somewhere, which offers a fusion of Arabian and Mediterranean cuisine in an atmospheric garden setting, and Okto, a stunning alfresco venue at the Harrat mountaintop lookout where the panoramic view almost outshines the Greek-influenced menu.

And it's in this department that AlUla really impresses, having created several evocative experiences that offer high-end hospitality in dramatic surroundings. Nowhere is this more evident than at Elephant Rock, where a large - yup, you guessed it - elephant-shaped rock is surrounded by cabanas, firepits and several bars and eateries. Visiting at night is especially magical. Chilled beats float through the cool desert air and the lantern-lit complex is full of families and friends socialising in circular sunken firepits.

While Hegra's 110 intricately carved rock tombs are AlUla's headline historical attraction, the region's desert landscape is ripe for more intrepid pursuits. Husaak Adventures offers a wide range of tours, from hiking, biking and canyoning to glamping and stargazing in the country's first Dark Sky Park.

I join entertaining guides Obadiah and Bilal for a half-day outing to Madakhel Canyon, a maze of twisting sandstone ravines in the heart of the protected Sharaan Nature Reserve. After hiking deep into a squirming gorge, we squeeze through a narrow opening to reach a clearing surrounded by towering rock walls depicting millions of years of geological turmoil. For several minutes, we savour that rarest of things - complete and utter silence.

On another day, I take a jeep safari around Hegra's nature reserve led by Asr, one of many local women who now work as rawis or storytellers. It's hard to believe that anything could survive in this arid desert terrain, yet we spot an impressively horned Nubian ibex, several gazelles and a rare Arabian oryx. A breeding programme hopes to re-introduce the critically endangered Arabian leopard.

Like all the young guides I meet, Asr is well-educated, well-travelled and seems genuinely excited about this new era. "Ten years ago, we never saw foreigners," another guide tells me. "Now I get to meet people from all over the world."

I have candid conversations about everything from the dress code for women ("It's now our preference what we wear") to marriage ("Traditionally, my family would have chosen my wife, but now I can decide"). One guide has 27 siblings and 50 nieces and nephews ("at the last count") because his father had three wives. He's currently working two jobs to save enough money so he can afford the "mahr" that Muslim men are obliged to give to their wife when they marry. When I ask if he too will have multiple wives, he laughs and replies, "One is enough."

I also meet foreigners who are working on some of Saudi's other tourism initiatives, including two marine biologists from Melbourne who are relocating coral off the coast of Jeddah in order to protect it. "The authorities are serious about conservation," one tells me. "And they have the money to do it."

Getting there: Emirates and Qatar Airways fly to AlUla via Dubai and Doha.

Visa: Australians are eligible for the Saudi tourist eVisa, valid for one year, which can be applied for online in advance or on arrival. Cost is SAR395 ($168) and includes local medical insurance. visa.visitsaudi.com

Staying there: Rooms at Dar Tantora start from about SAR1200 per night. dartantora.co

Rules: Alcohol and drugs are illegal and modest attire covering shoulders and knees is advised. Women do not have to wear an abaya or headscarf.

Explore more: experiencealula.com

The writer travelled as a guest of the Royal Commission of AlUla.