Saudi Arabia Launches a Mixed-Use Complex Worth US $1.1 Billion
Saudi Arabia Launches a Mixed-Use Complex Worth US $1.1 Billion
01/10/2023
Following a collaboration between the King Salman Park Foundation and Saudi developer Naif Al Rajhi Investment Company, a new mixed-use property worth US$1.1 billion will be built. The Foundation revealed the initiative, which claimed it was the first public-private partnership project to be wholly run and funded by the private sector.
The project, which spans a 290,000 sq m area inside the Park grounds, will contain around 1,500 residential units, including townhouses and apartments in the Salmani style with views of the park. Additionally, it will have 140,000 square metres of gross leasable space for offices, shops, hotels, schools, and numerous amenities for health, education, sports, recreation, and social interaction.
The office spaces will offer core Grade A and flexible alternatives seamlessly integrated into residential plots. At the same time, the hospitality options will cater to corporate tenants and park visitors, according to the Foundation.
The report details Naif Al-Rajhi Investment Company as the real estate developer, King Salman Park Investment as the master developer, and Saudi Fransi Capital as the fund manager, highlighting the collaboration between public and private enterprises.
It is one of the world's largest and most significant urban regeneration projects, seamlessly integrating people, the environment, and the city to create a green oasis in the middle of Riyadh that meets the objectives of Saudi Vision 2030 to build a thriving and healthy society. The park will help raise Riyadh's status internationally and make it one of the most livable cities in the world.
According to a top official, this partnership is unique because it links essential partners with the capital structure of the fund to create an innovative risk and reward proposition for equity and debt stakeholders, balancing the King Salman Park project's projected long-term capital returns with a steady and regular income flow in the short and long term.
King Salman Park aims to become a unique destination for locals, residents, and tourists by offering novel lifestyles, exciting adventures, and remarkable encounters.
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