According to analysis by property consultant Knight Frank, close to US$1 trillion of real estate and infrastructure projects have been announced since 2016
Nearly US$300 billion of the total is dedicated to new infrastructure, including new passenger rail networks and a new airport for Riyadh, which is expected to be the base for a new national airline.
Eight new cities are planned, mostly on the country’s western seaboard, along the Red Sea coast, where nearly US$575 billion is being spent to deliver more than 1.3 million new homes and 100,000 hotel rooms.
A project of note is Saudi’s futuristic smart city, Neom. It will cost an estimated $500 billion to build and is being positioned as a new vision for future cities. The development will use cutting edge technology to create one of the most innovative and sustainable places in the world.
Meanwhile, Riyadh is poised to become the commercial nerve centre for the kingdom, with more than 100,000 new homes expected by the end of 2023, along with 12,000 hotel rooms, spread across mega projects, worth an estimated $63 billion.
Faisal Durrani, partner and head of Middle East Research at Knight Frank Middle East, said: “Saudi Arabia is a country being reborn. The ambition that underpins Vision 2030 is being borne out in reality and we are rapidly closing in on $1 trillion of developments, all of which are colossal. And this is only about a third of the total spend planned.
“The number and value of mega projects around the country set to transform the country’s real estate landscape, standard of living, lifestyle offering and, perhaps most importantly, showcase the Kingdom’s vision for an ultra-modern future to a global audience.”
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