Al Ramz Real Estate Company announced the signing of a significant development agreement with Ramz Al Hijaz Fund, managed by Al Rajhi Capital, to develop and construct two luxury residential towers in the heart of Makkah. The total value of this agreement is SAR 418 million, reflecting the project's scale and strategic importance in the Saudi real estate market.
Project details and its strategic location
The two residential towers will be built on two plots of land totaling 6,007 square meters, located in the King Abdulaziz Road district, one of the most vital thoroughfares in Makkah. According to a statement issued by the company and published on the Saudi Stock Exchange (Tadawul), the agreement is for a period of 36 months from the date of signing. The agreement covers all phases of the project, from design and engineering to development, execution, construction, and full supervision until the project is delivered in accordance with the highest agreed-upon specifications. In addition to the base contract value, Al Ramz Real Estate will receive a development fee of 15% of the agreement value, equivalent to SAR 62.7 million.
General context: The project is part of the Kingdom's Vision 2030
This project comes within the context of the major transformations taking place in the Kingdom of Saudi Arabia under the framework of “Vision 2030,” which aims to diversify the national economy and strengthen non-oil sectors. The religious tourism and hospitality sector is a key pillar of this vision, as the Kingdom seeks to increase its capacity to receive pilgrims performing Hajj and Umrah, reaching 30 million Umrah pilgrims annually by 2030. Major real estate projects in Makkah and Madinah play a pivotal role in achieving this goal by providing advanced infrastructure and high-quality residential and hotel options.
Economic importance and expected impact
The project is expected to have a tangible positive impact both locally and nationally. Locally, it will stimulate economic activity in Makkah by creating direct and indirect job opportunities in the construction and services sectors, and will enhance the region's attractiveness for real estate investment. Nationally, the project supports the strategic objectives of the "Serving the Guests of God" program, one of the Vision 2030 initiatives, by improving the quality of services provided to visitors and enhancing their experience. The positive financial impact of this agreement is also expected to be reflected in Al Ramz Real Estate Company's performance during the fiscal years 2026-2029, strengthening its financial position and future market growth.
