Arada launches $3.8 billion project in Riyadh — The National
UAE developer Arada is launching a residential project in Riyadh, Saudi Arabia, worth 14 billion dirhams, or $3.8 billion. The company also plans to build 100,000 homes in the kingdom within three to five years, The National reports.
Project in Al Rimal
Arada's first complex in Saudi Arabia will be located in the Al Rimal district, in Riyadh's northeastern development corridor. The development site covers 2.5 million square metres. The National article states that the project area will total 3.2 million square metres.
The complex is planned to include 3,500 villas and townhouses. It is also expected to feature a school, retail outlets, a community centre, sports facilities and green spaces. The project provides for planting 100,000 trees and is inspired by the Masaar residential community that Arada is developing in the emirate of Sharjah.
Construction is planned to begin in mid-2027 and be completed within five years. Home prices will range from 1,000 to 1,400 Saudi riyals per square foot, Arada chief executive Ahmed Alkhoshaibi said.
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Expansion plans
Arada's development in Saudi Arabia will be handled by Arada KSA, an entity established jointly with Saudi real estate investor Xtopia. Xtopia chairman Mohammed Al Dabbaan will become chairman of Arada KSA.
According to the company, Arada KSA has access to a land bank covering 10 million square metres in Riyadh, Jeddah and Mecca. Its total value is estimated at 49 billion dirhams. Arada is also preparing new projects in Jeddah and Mecca.
Overall, the group expects to have 200,000 homes across different countries within three to five years, with half of that figure intended for Saudi Arabia. The Al Rimal project is planned to be financed through an investment structure regulated by Saudi Arabia's Capital Market Authority and managed by Al Rajhi Capital. According to Alkhoshaibi, most of the financing is expected to come from the fund and a bank.
Saudi Arabia aims to raise the share of citizens who own homes to 70% by 2030 under the Sakani programme. At the end of 2024, the figure exceeded 66%, while the number of recipients of state housing support reached 1 million.
