Kenzi Al Arabiya buys Jeddah land with Dar Al Arkan at market rates: Chairman

Kenzi Al Arabiya Co. purchased a land plot in Jeddah at market prices and in line with the real estate index in the targeted area, Chairman Abdulrahman Al Saawi said.

The company is part of a consortium that acquired the SAR 4.5 billion site alongside Dar Al Arkan Real Estate Development Co. and a group of investors.

In a statement to Al Eqtisadiah newspaper, Al Saawi said the real estate index in the area has not witnessed any notable rise or decline, adding that the real impact falls on real estate developers.

He noted that property prices in Jeddah have not seen the sharp increases recorded in other Saudi cities, remaining balanced and economically viable, which makes the city an attractive investment destination.

Al Saawi further expected Jeddah’s property prices to maintain their stability, with a slight gradual increase in the index depending on geographical location and targeted segments.

According to Argaam data, Dar Al Arkan said in February it had won a SAR 4.46 billion real estate deal in Jeddah, including tax and commission, through a consortium with Kenzi Al Arabiya and other investors.

The company said on Sept. 23 that its share in the acquired land amounts to 80%, confirming that all procedures for registration and ownership transfer had been completed.

It added that it looks forward to commencing development after securing all necessary approvals and licenses from the relevant authorities.