Roshn awards $2.4bn contracts for Saudi projects

Roshn

Roshn, a real estate developer backed by Saudi Arabia’s Public Investment Fund, has finalised four major commercial agreements with local and global companies valued at over SAR9 billion ($2.4 billion). 

The agreements cover construction, infrastructure and fittings for Roshn’s developments across the kingdom.

The largest was a SAR 7.7 billion construction contract with engineering contractor China Harbour Engineering Company, part of China Communications Construction Company, to develop 6,700 residential units, mosques, community centres, retail and supporting public amenities in the Sedra and Warefa communities in Riyadh. 

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The 45-month commercial contract is the largest in value to be announced among Saudi giga-projects to date, the developer claimed in a statement.

In addition, Roshn signed a SAR 690 million agreement with Saudi-based PC Marine Services to construct a canal and bridge at its newly announced Marafy community in Jeddah. 

The developer also signed a pact with Saudi Abyat to design and supply around 12,000 high-quality kitchens in several upcoming communities. 

Roshn also awarded Saudi Pan Kingdom Company a SAR 840 million contract covering primary and secondary infrastructure works in its upcoming and yet-to-be-announced communities in the kingdom’s western regions. 

“These agreements are paramount in fortifying our supply chains and maintaining the unmatched pace and magnitude of delivery expected of Vision 2030. They serve as conduits for driving foreign direct investment into Saudi Arabia and bolstering local suppliers by weaving them into our flagship projects,” Roshn Group CEO David Grover said. 

The agreements were announced at Cityscape Global, held at the Riyadh Exhibition & Convention Centre in Malham from September 10 to 13.

The total value of real estate and infrastructure projects in Saudi Arabia is $1.25 trillion, in addition to $250 billion of commissioned projects.

Most of these are in housing, as the kingdom plans to reach a population of 50 million by 2030, real estate consultancy Knight Frank said in a report last week.