Saudi's property and infrastructure portfolio crosses next milestone

Two years ago, Saudi's real estate and infrastructure portfolio of projects launched since the inception of the National Transformation Plan in 2016 crossed the magical $1 trillion barrier. This month, the next milestone has been crossed with the addition of the $250 billion in projects to the portfolio.

Saudi Arabia has embarked on an expansive real estate development program, with a focus on meeting Vision 2030 goals. Knight Frank research now shows that the total development portfolio has hit $1.25 trillion.

With population growth expected to top 50 million by 2030, the number of planned residential units has increased to 660,000, up 30% in the last year – but affordability remains a challenge. Approximately 5.3 million square meters of retail space and a total of 289,000 hotel rooms are planned to support the goal of hosting 100 million visitors by 2030.

Riyadh

Riyadh is a central focus for Saudi Arabia’s property and infrastructure transformation, with 18% of real estate and development projects, totaling $229 billion. This includes plans for adding 3.6 million square meters of office space, addressing a severe supply shortage that has boosted Grade A occupancy to 98%.

The government intends to invest approximately $1 trillion in Riyadh alone. In the residential segment, Riyadh accounts for 18% of all projects, including plans for 241,000 homes by 2030. This includes King Salman Park, a major project with $8.8 billion in contracts awarded so far, featuring homes, office space and retail offerings.

Tourism is also on the agenda for Riyadh. The capital city aims to attract 30 million visitors by 2030, among others to be realized by the hosting of major touristic events including the 2030 World Expo.

Another area of investment: making Riyadh more liveable. There is an emphasis on improving residents’ well-being through projects like Qiddiya’s theme park, Riyadh Sports Boulevard, and the ‘Green Riyadh’ greening initiative.

Neom and Western Saudi

The western half of the country, including Neom, is another central focus of Vision 2030, with $687 billion in real estate projects expected to be delivered by the end of the decade.

Neom, described by many as a “visionary mega-city”, features several mega projects. The Line will introduce the world’s first linear city, stretching over 170 kilometers and characterised by two soaring 400-meter-tall ‘landscrapers’. Trojena is slated to host the 2030 Asian Winter Games, becoming the Middle East’s pioneering open-air ski resort, capitalising on the region's consistent winter snowfall.

Oxagon is envisioned as the planet’s largest floating city, running entirely on renewable energy and housing an extensive logistics hub. Sindalah Island is set to become a luxury yachting destination, complemented by opulent hotel resorts.