First Avenue signs mixed-use development contract in Riyadh

Logo of First Avenue for Real Estate Development Co.

First Avenue for Real Estate Development Co. signed a development contract for a mixed-use project (commercial/residential/office) with the North Star Real Estate Fund on a land plot of 10,442 sqm in Al Arid district, Riyadh.

The North Star Fund is managed by Dinar Investment.

In a Tadawul statement, the company said development fees will be 13% of the actual project costs, which are expected to reach SAR 83 million, excluding VAT. The final cost will be determined after completing the approved design studies and plans.

The project is strategically located on King Abdulaziz Road, a key artery connecting north and south Riyadh, and near major roads such as King Fahd and Abu Bakr Al-Siddiq Roads, enhancing its investment appeal.

The contract entails executing the project in accordance with approved plans, including detailed architectural designs, construction supervision, and project marketing.

First Avenue said the contract is part of its Tanmiah program aimed at developing and investing in high-potential real estate opportunities in strategic locations.

The company added that the agreement reflects its expansion strategy to strengthen its presence in the real estate market through high-quality developments. It expects a positive financial impact starting from the first half of 2027.

The contract term is 24 months from the completion of the approved design stage, and no related parties are involved, the statement said.