BrazilDar Al Arkan acquires stake in Compass Project Consulting
Six months after entering a formal agreement, Compass Project Consulting and Dar Al Arkan have taken their collaboration to the next level.
In January, Compass Project Consulting, a project management consultancy with around 90 staff across four offices in the UAE and Saudi Arabia, announced its partnership with Dar Al Arkan, one of Saudi Arabia’s largest real estate developers.
In the setup, the two companies agreed to collaborate in the pre-project and project delivery phases, bringing Compass’ expertise in project management to Dar Al Arkan’s massive portfolio of residential and commercial projects across the region.
Since its inception in 1994, the listed Saudi developer has delivered 15,000 residential units and over 500,000 square metres of commercial space. Compass meanwhile specialises in the leisure, hospitality and entertainment segments, and has built a track record of 500+ projects since its founding eight years ago.
Following a successful collaboration, and an aligned vision on the synergies of going to market together, Dar Al Arkan has now taken an undisclosed stake in Compass.
Spencer Wylie, CEO of Compass Project Consulting, said that the accelerated step up in the collaboration builds on three main drivers.
For Dar Al Arkan, being able to offer an integrated offering from within means that it can approach the larger mega developers and project owners (for example: the Public Investment Fund) with a more complete offering. “Not just as a residential developer, but also as a project management company,” said Wylie.
Second, the stake allows both parties to better position themselves for the fast growth expected to unfold in the project management space, in particular in the residential and tourism segments. Wylie: “The growth of the tourism sector in the Kingdom has been phenomenal and well-grounded around Vision 2030.”
According to analysis by Knight Frank, Saudi Arabia is on its way to add 310,000 hotel rooms to its hospitality market by 2030 – at an investment of approximately $110 billion. In its slipstream, this massive investment boom will trigger a range of other construction projects, from commercial and residential concepts to infrastructure initiatives.
“Together, Dar Al Arkan and Compass Project Consulting are better equipped to bid for the upcoming megaprojects,” said Wylie.
Luke Somerville, Managing Director of the consulting firm, added: “Dar Al Arkan is one of the region’s most influential and innovative developers. Working with them will bolster our services, sectors and coverage, and help us realise our next growth chapter.”
