Jabal Omar raises land sale price in Makkah by SAR 21M

Logo of Jabal Omar Development Co.

Jabal Omar Development Co. signed an addendum to the land sale agreement within its Makkah-based project with Azhar Co., which includes amending the sale price from SAR 1.14 billion to SAR 1.16 billion, an increase of SAR 21 million.

According to a statement to Tadawul, the company said that the price adjustment is due to extending the period required to complete the sale transaction, as requested by the buyer.

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In March, Jabal Omar signed a contract to sell a 6,001-square-meter land plot within its Makkah-based project for SAR 1.14 billion, with the buyer bearing the real estate transaction tax and brokerage fees, Argaam data showed.

The company noted at the time that the land's book value amounted to SAR 255.93 million, including development costs.

The proceeds of this agreement are to be used to improve its capital structure by reducing debt and financing this ongoing project.