Saudi Arabia’s real estate spending to expand 13%

06.07.2011

RIYADH – Saudi Arabia is poised to sustain a 13 percent annual jump in government real estate expenditure, driven by a rapidly increasing population and surging demand for residential and commercial properties, said an expert.

In 2010 alone $29 billion worth of construction projects were awarded, a figure that is expected to increase as large-scale real estate projects remain central to the Saudi government’s strategic development plans, Riyadh-based developer Injaz said. Confirming the huge demand for premium-quality real estate projects in Saudi, Injaz said there has been a tremendous market response for its Al Marina project, a 3.3 million sq m beachfront development on the Al-Khobar-Dammam corridor that is designed to be the newest major landmark in the Kingdom’s Eastern Province.
The project had won the ’Best Waterfront Development Award – Future’ at the recent Cityscape Jeddah 2011, confirming the company’s success in developing projects that conform to the real estate demands of Saudi Arabia.
Omar Al Kadi, president and managing director, Injaz Development Company, said the housing demand in Saudi remained very strong and was expected to increase by up to 18 per cent between 2010 and 2013.
"Government expenditure will play a very important role in sustaining the real estate development activities across the country as the Kingdom continues to address the growing supply gap for residential spaces," he said.
– Agencies

Source : Saudi Gazette, 6th July 2011