Dar Al Majdiah to Develop Two Residential Towers in Makkah's Masar Destination
Saudi Arabia's Dar Al Majdiah Real Estate has signed a US $105.5 million agreement with Alistithmar Real Estate Fund 9 to develop two residential towers within Makkah's Masar Destination project.
Dar Al Majdiah Real Estate Company has entered into a significant agreement with Alistithmar Real Estate Fund 9 for the development of two residential towers in Makkah. The contract, valued at approximately US $105.5 million, positions Dar Al Majdiah as the master developer responsible for the management and development of the project.
The residential towers will be situated on a 6,614 square metre site within Zone 1 of the expansive Masar Destination project in Makkah. This development highlights ongoing investment in the city's urban transformation and growth, catering to its increasing residential needs.
Dar Al Majdiah's comprehensive scope of work encompasses several critical phases of the project. This includes planning, design, and development, as well as the supervision and monitoring of construction activities. Beyond that, the company will coordinate with relevant authorities, manage contracts with both contractors and consultants, and oversee the marketing and sales of the project's units.
According to the agreement, the project is slated for completion within a 30-month period starting from the date the building permit is officially issued. The financial impact of this contract will be reflected in Dar Al Majdiah's statements throughout the project's execution, with revenue recognised using the percentage-of-completion accounting method.
Questions, answered
- What is the value of the development contract?
- The development contract for the two residential towers is valued at approximately **US $105.5 million**.
- Which companies are involved in this Makkah residential project?
- The key parties involved are **Dar Al Majdiah Real Estate Company**, serving as the master developer, and **Alistithmar Real Estate Fund 9**, with whom the development agreement was signed.
- Where exactly will the residential towers be located?
- The two residential towers will be built on a **6,614 square metre site** within Zone 1 of the **Masar Destination project in Makkah**, Saudi Arabia.
- What is the expected timeline for the project's completion?
- The project is expected to be completed within a **30-month period**, commencing from the date the building permit is officially issued.
- What responsibilities does Dar Al Majdiah have as the master developer?
- Dar Al Majdiah's responsibilities include planning, design, development, supervision and monitoring of construction, coordination with authorities, management of contracts with consultants and contractors, and the marketing and sale of the units.
This brief was summarised and rewritten by Gaia Living from public reporting. Figures and details reflect the original sources.