933 Million Pledged for 1st Phase of Islamic World Avenue Project in Medina
The Saudi Economic Knowledge City company is spearheading the development of the first phase of the “Islamic World Avenue” project in Medina, with an earmarked investment of $933 million. This initiative forms part of the broader vision to promote economic diversification and development in line with Saudi Vision 2030.
Investment and Partnerships
The investment fund is structured to finance the initial phase of the project. The company forged a notable partnership with GIB Capital for the establishment of a real estate investment fund. It aims at propelling the development of this phase. The project has also seen agreements totaling $960 million with international groups for engineering, procurement, and construction services.
The first phase of the project embraces a multi-faceted approach, featuring a blend of residential, commercial, and recreational spaces. This includes around 5,000 hotel units, 743 residential apartments, alongside retail spaces spanning 24,000 square meters. The entire phase covers a land area of approximately 140,000 square meters.
Islamic World Avenue: Broader Scope
The “Islamic World Avenue” project is a significant undertaking within the Knowledge Economic City, which itself is a $7 billion venture located in Medina, the second-holiest city in Islam. Creative Kingdom Dubai crafted the master plan for this city, encompassing various sectors to foster economic growth and cultural exchange.
Aside from the real estate investment fund, other financing strategies have been employed to ensure the smooth progression of the project. For instance, real estate investment has secured financing worth 782 million Riyals for the execution of related projects within the Saudi Economic Knowledge City.
Vision 2030 Alignment
The project aligns with the Kingdom’s Vision 2030, seeking to enhance the economic, cultural, and social fabric of Medina and by extension, Saudi Arabia. It aims to provide a significant impetus towards achieving the broader goals of economic diversification and sustainable development.