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Saudi’s Riyadh Development Company (ARDCO) has set up a joint venture with Turkey’s FTG Development to further advance real estate projects in the kingdom. ARDCO and FTG will each hold a 50% stake in the newly created limited liability company.
As part of the deal, ARDCO has also established a new real estate investment fund which will be used to develop a 3.5 billion-riyal ($932 million) project in Riyadh.
The Urban Wadi mixed-use real estate development will feature in Riyadh’s Sports Boulevard Project, an under construction large-scale linear park, which was one of several mega projects launched in the kingdom in 2019.
ARDCO and FTG have partnered with Saudi’s Sports Boulevard Company for Real Estate Development & Investment for the fund.
The seven-year extendable contract has the Sports Boulevard Company listed as the main investor with its landbank, with ARDCO named a local investor, with foreign funding from the FTG.
The newly launched LLC will undertake the real estate development work for the project, while Saudi’s Jadwa Investment Company will take on the role as fund manager.
Ownership percentages in the fund are yet to be determined.
(Writing by Bindu Rai, editing by Brinda Darasha)
