Arada Enters Saudi Arabia with 50 Billion Riyals and a 14 Billion Project in Riyadh

Arada Developments announced the establishment of "Arada Saudi Arabia" for Real Estate Development, in partnership with "Xtopia," a company specializing in integrated destination development, with Mohammed Al-Dhabaan assuming the chairmanship of its board of directors.

The new company has access to a land bank covering an area of approximately 10 million square meters with a total value of 50 billion riyals, spread across locations in Riyadh, Jeddah, and Makkah, according to Arada's statement.

The first project consists of a 14 billion riyal master-planned residential community in the Al-Rimal district, northeast of Riyadh. Spanning an area of about 2.5 million square meters, it includes an estimated 3,500 villas and townhouses, along with 100,000 trees and amenities such as a school, commercial spaces, a community center, and sports facilities.

Construction work and sales for the project are scheduled to begin in 2027, financed through an investment structure licensed by the Capital Market Authority. Arada states that its project portfolio stands at 189 billion riyals across five markets, encompassing over 70,000 homes, having completed 17,000 homes to date.

What Do These Terms Mean?

Land Bank: A stock of land owned or available to a development company, used to construct projects in phases.

Master Plan: The comprehensive design of a project, defining land use, roads, amenities, and building distribution.

Investment Structure: A regulated financial vehicle that allows pooling investors' funds and managing the project in accordance with Capital Market Authority rules.