Makkah to receive over £2.5 billion investment

We previously showcased Makkah's mega-projects which are expected to transform the city's real estate landscape. These mega-projects are already impressive in their own scale.

Building on this transformation story, the Royal Commission for Makkah City has announced 6 additional development projects in the city. The value of these projects is expected to surpass £2.5 billion (SAR 13.3 billion) in investments driving Makkah's economy over the coming decade.

The whereabouts of these projects have also been announced, primarily serving central locations. From Jorhom to Hindawiyah, the area south of the Masar project will undergo significant development and upgrades to infrastructure.

The developer behind the Masar project, Umm Al Quraa development company, has been awarded two sites (Western and Southern Hindawiyah) which will further enhance the urban landscape around the current Masar development.

This announcement raises the tally to 14 mega-projects planned across the city. From the likes of already announced projects such as King Salman Gate and Masar, we're now expecting to see even more activity across the real estate space.

It goes without saying that the recently announced foreign ownership policy is a driving factor behind these developments. Demand for Makkah's property will be open to a global Muslim audience for the first time in over 25 years.

Anticipated demand from this global wealth pool will undoubtedly drive sales across these projects, even if only off-plan sales at this stage.

We're already seeing sales across projects such as Masar and Roshn taking off, even prior to the geographic zones for foreigners being announced. Once the market truly opens up, sales of developments are likely to significantly accelerate.