Retal Urban Development Co. signed on Nov. 20 sub-development agreements with National Housing Co. (NHC) to develop residential units in Riyadh and Jeddah at an estimated cost of SAR 925 million.
In two separate statements to Tadawul, Retal said the first agreement was sealed at an estimated cost of SAR 290 million. Under the agreement, Retal will develop 366 residential units in Zones 1 and 2 in Al Shafa Residential Land, Riyadh, on a total space of 133,933 square meters (sqm).
The second agreement, signed at an estimated cost of SAR 635 million, pertains to the development of 803 residential units in in South Jeddah Project. The project is located in Jeddah on a total land area of 209,482 sqm.
Both projects will be mainly financed through off-plan sales, in addition to the company’s internal resources and available bank facilities.
Retal will embark on the two projects on the next day after receiving the land from NHC, expecting to complete them within 42 months from the agreements signing date.
The two projects are expected to have a positive financial impact on Retal after the issuance of the off-plan sales license and launch of sales from 2024 to 2027.
Source : Argaam