Saudi asset manager announces $1.6 billion real estate fund

Leading Saudi asset manager, Riyad Capital, has announced a collaboration with the Saudi Railway Company to launch a $1.6 billion (£1.2 billion) real estate fund in Makkah that intends to develop a mixed-use project, Trade Arabia reported on October 21st.

​The project is set to be developed on a large plot of land situated in the Al Rusifah district near the Haramain High-Speed Railway Station and is expected to feature mixed-use infrastructure, such as hotels, commercial and residential areas.

“​This project marks a strategic milestone in Riyad Capital’s efforts to strengthen its presence in the real estate development sector, particularly in cities of religious and economic significance,” said Riyad Capital’s chief executive Abdullah Alshwer.

Alshwer also said: ​”Our collaboration with SAR embodies a shared vision to transform the project site into a modern urban destination aligned with Makkah’s development aspirations, while providing promising investment opportunities.”

​It was reported on June 4th that Egypt and Saudi Arabia were nearing a deal to introduce a high-speed rail connection, the first of its kind between the countries. 

​The railway would connect Egypt’s Red Sea resort city of Sharm el-Sheikh with Ras Alsheikh Hamid in Saudi Arabia.

​Experts from the two nations consider the project to be a stepping stone to strengthening bilateral trade and boosting the movement of people across borders.

​The rail project was anticipated to include a bridge spanning the Red Sea, with the route passing near Tiran Island. Tiran and Sanafir—another nearby island—had been under Egyptian administrative and military authority for tens of years until their controversial transfer in 2017 to Saudi Arabia. 

​Meanwhile, Morocco confirmed its plans to spend $10 billion (£7.5 billion) to expand its rail network in the run up to the 2030 FIFA World Cup.

​The high-speed line, which would cost roughly 53 billion dirhams (£10.6 billion), will start its route in Kenitra on the Atlantic and run 430 kilometres south to Marrakech, whilst linking Rabat and Casablanca en-route.

​Trade Arabia, Maghrebi.org