Saudi’s Public Investment Fund (PIF) and its subsidiaries have unveiled a substantial investment plan, aiming to allocate up to 4 trillion riyals ($1.06 trillion) for real estate projects within Saudi over the next decade. Ahmad Alshanqiti, head of Real Estate and Infrastructure National Programs Management, PIF, made this announcement while participating in the inaugural ministerial session of the Northern Border Investment Forum held in Arar, Saudi Arabia.
Read more: Saudi Arabia economy: PIF’s biggest investments by value
As part of their strategic vision, the Fund is spearheading the Downtown project, which encompasses the development of properties exceeding 10 million square meters across 12 cities in the Kingdom. To carry out this ambitious initiative, a subsidiary of PIF called the Saudi Downtown Company has been established.
With a focus on sustainable development and bolstering local industries, PIF targets 60 percent localization in real estate projects from 2025. This commitment creates new opportunities for local companies and industries to actively participate in these significant ventures, paving the way for their growth and involvement in these mega projects.
Ambitious target
Saudi Arabia has set an ambitious target of constructing 300,000 housing units by the end of 2025, and Roshn, a real estate developer under Saudi’s PIF, plays a significant role in achieving this goal. Roshn’s extensive projects encompass the construction of approximately 400,000 homes, 1,000 schools, as well as commercial and recreational areas throughout the Kingdom. These endeavors not only enhance the infrastructure but also address the pressing requirements for housing and other essential services.
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