RIYADH: Saudi Arabia’s Minister of Municipal and Rural Affairs and Housing inaugurated the Cityscape Global 2025 exhibition in Riyadh, held under the theme “The Future of Urban Living,” with broad participation from developers, investors, and experts from various countries around the world.
At the beginning of his speech, Majid Al-Hogail thanked the Kingdom’s leadership for the unlimited support and empowerment provided to the municipal and real estate sectors, which enhanced the Kingdom’s status as a global model in urban development and cemented the journey of national transformation, in line with Saudi Vision 2030.
Al-Hogail emphasized that the Cityscape exhibition has become a global Saudi platform embodying the urban, architectural, and economic development achieved by the Kingdom, offering investors qualitative opportunities to build smart cities and urban communities that are human-centric first and foremost.
He pointed to the fundamental shift in the role of the Saudi and international real estate developer, who has become a key partner in building modern cities.
The minister clarified that the contribution of construction and real estate activities reached 13.8 percent of the gross domestic product by the second quarter of 2025, in addition to the sector’s direct impact on the job market. He noted that construction, building, and real estate activities contributed approximately 15.5 percent to the total employment in the Kingdom.
He explained that the five major cities will need more than 1.5 million housing units by 2030, including 731,000 units in Riyadh alone, confirming the Kingdom’s position as the largest urban development market in the region.
The minister announced the signing of real estate agreements and deals exceeding SR161.2 billion ($42.3 billion) in the first two days of the exhibition, a record figure reflecting the strength and vitality of the Saudi real estate market.
He confirmed that the coming days will witness more deals and contracts, given the high demand from local and international investors and the ongoing momentum of urban projects in the Kingdom.
The minister outlined that real estate financing in the Kingdom has seen accelerated growth and significant maturity, with the volume of real estate loans for individuals and companies reaching approximately SR961 billion by the second quarter of 2025. This has helped raise the homeownership rate among citizens to over 65 percent by the end of 2024.
Al-Hogail reviewed the evolution of the financing ecosystem, which includes subsidized loans, real estate funds, and institutional financing, in addition to FinTech and PropTech solutions that have provided more diverse and attractive options for investors.
He stated that the legislative environment has become more attractive and transparent, as inbound foreign direct investment flows into the construction, building, and real estate activities sectors constituted 15.27 percent of the total in 2024.
He also indicated that the updated regulations for foreign ownership have boosted investor confidence and opened the door wide for global companies to invest in special economic zones and cities.
Al-Hogail affirmed that the General Real Estate Authority is working on introducing three key indicators, including price inflation, rent-to-income ratio, and vacancy rate, which will be made available to the market during 2026 to enable investors to track price balance and understand market movements more accurately.
Regarding real estate technologies, the minister emphasized that the Saudi real estate sector has transformed into a distinctly digital sector, adopting PropTech solutions, using Artificial Intelligence, modern building methods, and Augmented Reality experiences in planning and project management.
He revealed the completion of the first tokenization of a real estate ownership deed in the Kingdom and its trading among investors under the supervision of the General Real Estate Authority, in addition to launching the first global standards for tokenizing real estate ownership. This makes the Kingdom one of the first countries to build a digital infrastructure for real estate that is directly linked to official records before any transaction is conducted.
He explained that this transformation will expand the investor base, increase market liquidity, accelerate the financing of development projects, and enable startups to innovate new solutions in property management, facilities, and smart contracts.
In conclusion, Al-Hogail stressed that the exhibition represents a national platform reflecting the Kingdom’s ambition to build smart cities and a global real estate economy based on innovation, efficiency, and sustainability.
He indicated that the current edition of Cityscape has become a national real estate season, gathering developers and investors under one roof to see qualitative opportunities that shape the future of the sector.
He noted the efforts made to make the exhibition a success and the contributions of the participants and speakers, calling for continued work to enhance the quality of life and build an urban future worthy of the Kingdom’s ambitions.
