Makkah Construction secures SAR 880M loan from Bank AlJazira

Makkah Construction obtained a Shariah-compliant bridge loan worth SAR 880 million from Bank AlJazira

Makkah Construction and Development Co. obtained today, Jan. 29, a Shariah-compliant bridge loan worth SAR 880 million from Bank AlJazira.

In a Tadawul statement, the company said it will use part of the loan to finance the purchase of an Ajyad land plot, while the remaining part will be financed from the company's resources.

The loan duration is six months, and the guarantees provided are Saudi government sukuk owned by the company.

The deal involves related parties, Mohammed Alnafea, board member and CEO of the company, as well as Turki Alqonaibet, board member.

In late December, Makkah Construction purchased a land plot in an auction for SAR 980 million, including commission fees and real estate tax, according to data available with Argaam.

The land plot is located on Ajyad Street, Makkah, with a total area of 6,985.88 square meters, approximately 500 meters away from the Grand Mosque plaza. The land will be used for the development of a mixed-use real estate asset comprising a hotel and a mall.