A new residential community in Madinah

The launch of the foreign ownership policy has seen renewed interest to buy in both Makkah and Madinah.

If you've been considering a purchase of a property in Saudi Arabia, you are more likely to have been weighing your options in Madinah.

The city's relatively calmer atmosphere, growing expat base and visible enhancements to quality of life are proving to be attractive to the international buyer market.

Interestingly, however, there are fewer options for purchasing a unit in Madinah, relative to Makkah.

There are only 3 residential areas outlined in REGA's foreign ownership zones in Madinah. In comparison, Makkah offers 6 areas for residential purchases, alongside an additional 7 areas announced in the city's Developed Districts Program.

Al Alyaa is one of the few options available in Madinah and the only project currently offering units for sale.

The project is one of five sub-districts within Madinah's Knowledge Economic City, located towards the east of Madinah.

The project commenced following the sale of villas and townhouse units in the neighbouring Dar Al Jewar sub-district.

It's considered to be highly accessible given its shuttle access to Masjid an-Nabawi, whilst also offering access to Makkah and Jeddah via the Haramain rail station, which sits immediately adjacent to the project.

The project is currently in the construction phase and scheduled to hand over units in Q4 2027.

Units are being offered as off-plan sales, with prices starting from £370,000 (SAR 1.85M) for 2-bed apartments. Given the phased nature of payments under the off-plan agreement, the down payment is limited to 5%, which can prove to be particularly attractive.

Knowledge Economic City has also confirmed that purchases benefit from freehold ownership, which has been an open question across several of the recently announced foreign ownership zones.

The project comes equipped with amenities for its residents such as gyms, pedestrian walkways and parks.

Projects such as Al Alyaa offer a community, as opposed to a standalone unit. In particular, given the consideration for schooling, with Riyadh School anticipated to be opening close by.

The project's location also benefits from views of Mt Uhud. Units facing a north-westerly direction are likely to face higher demand given the views of Madinah's terrain.

For the international buyer, the picture is a straightforward one. Interest in Madinah is running ahead of Makkah, yet the options remain fewer.

As of today, Al Alyaa is the only project in the city with units on sale. For those weighing a purchase, the Buyer's Guide to Madinah breaks down the project, the process and what to expect before committing.