Naif Alrajhi Investment has announced its winning of a real estate development contract for the first real estate investment land parcel in King Salman Park in Riyadh. The project is being undertaken in partnership with the King Salman Park Company for Investment and Real Estate Development, as well as Saudi Fransi Capital. The project will be situated within Phase 1, District 1 of King Salman Park, covering an area of 290,000 square meters. It will be located west of the Visitors’ Center, south of the Royal Arts Complex, and east of King Abdulaziz Road.

This project marks the first ever partnership between the government and private sector, utilizing an innovative financial and operational structure developed through a collaboration between the King Salman Park Company and Saudi Fransi Capital. The private sector will fully manage the project in accordance with the objectives of Vision 2030. This partnership follows the successful launch and closure of the “King Salman Park Real Estate Development Fund” by Saudi Fransi Capital and the King Salman Park Company. The private closed investment fund has a total size of SR4 billion ($1.07 billion) and is both Shariah-compliant and registered with the Capital Market Authority of Saudi Arabia.

Naif Alrajhi Investment group will act as the real estate developer and the master lessee for the entire mixed-use project, which will consist of more than 1,500 residential units, 140,000 square meters of rentable office and retail space, a hotel, a school, and public spaces for both religious and
community well-being, along with a variety of amenities. 

Naif Saleh Al-Rajhi, chairman and CEO of Naif Alrajhi Investment, said: “At Naif Alrajhi Investment, we take pride in our innovative and futuristic thinking and development, which begins with our belief and commitment to Vision 2030. We are honored to have been chosen to work on this opportunity with our partners to develop the first private real estate investment land parcel within King Salman Park. The project is a mixed-use development and is situated in a vital and highly significant area for the future of Riyadh.”

George Tanasijevich, chief executive of King Salman Park Foundation, said: “We are proud to partner with Naif Alrajhi Investment and Saudi Fransi Capital. The King Salman Park Real Estate Development Fund will realize our shared vision of driving the sustainable growth and development of King Salman Park and the city of Riyadh, in line with Saudi Vision 2030.”

Meanwhile, Salam Alkhunaizi, CEO and board member of Saudi Fransi Capital, said: “We are extremely honored and privileged to be part of the iconic King Salman Park development through the launch of this fund, which is another milestone in Saudi Fransi Capital’s continued efforts to provide its investors with the most innovative and diversified investment solutions whilst striving to play a prominent part in the realization of Vision 2030 projects and its various realization programs. With the unique structuring and partnerships established with this fund alongside King Salman Park Company for Investment and Real Estate Development and Naif Alrajhi Investment group, we hope to provide a groundbreaking blueprint on how public-private partnerships can work profitably and efficiently for all, especially in the execution and management of large-scale and iconic projects such as King Salman Park.”