This opportunity entails building, owning and operating residential units to serve the KSA housing market.
As part of vision 2030, KSA has set ambitious plans to grow the Housing industry in order to meet demands for its growing young population . Plans include building 680k new housing units by 2020 and 1,500k by 2030 as well as increasing home ownership of Saudi nationals from 50% in 2017 to 60% in 2020 and 70% in 2030.
Demand for residential units is distributed throughout KSA and across four categories (villas, apartments, duplexes and townhouses).
Construction costs of targeted residential units range from 1.9K to 3.7K SAR per sqm.
Housing developers in KSA typically achieve high profit margins due KSA's cost competitiveness.
In addition, housing developers in KSA can benefit from several incentives including:
- Financial incentives: interest-free loans, infrastructure financing support, conditional purchase back guarantees, VAT coverage and higher floor to area ratios
- Non-financial incentives: set-up facilitations (e.g., fast track licensing), operational support (e.g., marketing and sales) and business development / expansion support (e.g., linking technology providers to demand / developers)
The increase in demand for housing units coupled with the Governments push for localization presents a great opportunity for housing developers to build, own and operate residential units in KSA.
To be provided upon request.
To be assessed by investor (cost drivers and other financial figures to be shared upon request)
Open to starting the project as soon as possible
- Pure private sector model
- Joint venture with local player
Contact Our Build, own and operate residential units Expert
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