Saudi Dunes
June 20th, 2005, 04:14 AM
Khobar project targets $16 billion investments
RIYADH: A real estate project on Saudi Arabia's Gulf coast should attract around 60 billion riyals ($16bn) in investments over the next 10 years, the developer said yesterday.The Khalid S Shobily Group spent 7bn riyals to develop the 6 million square metre strip of coastline in the city of Khobar.
"We aim to create a commercial, housing and leisure hub that's on par with the best in the world," Khalid Al Shobily, the firm's chairman and founder, said.
Work began four years ago on developing Shobily Port, which covers a prime spot next to a causeway connecting Saudi Arabia to Bahrain. It has been split into sections and sold off in phases.
"Demand has been excellent," Shobily said. "Investors spent 1.8bn riyals buying plots over a five-hour sale held last week."
Several global companies have already signed deals worth 4bn riyals to build shops, high-rise apartments, a medical centre, a university and two hotel resorts.
Shobily was pleased the Saudi government was gradually introducing new regulations to encourage more international firms to relocate to the kingdom.
"This project will meet the requirements and needs of these firms and their employees," he said.
"I expect a lot of them to choose Khobar over places like Dubai as Saudi Arabia is the economic powerhouse in the Gulf." Historically, Shobily added, Al Khobar has had strong links with firms with large numbers of Western employees, such as oil giant Saudi Aramco.
RIYADH: A real estate project on Saudi Arabia's Gulf coast should attract around 60 billion riyals ($16bn) in investments over the next 10 years, the developer said yesterday.The Khalid S Shobily Group spent 7bn riyals to develop the 6 million square metre strip of coastline in the city of Khobar.
"We aim to create a commercial, housing and leisure hub that's on par with the best in the world," Khalid Al Shobily, the firm's chairman and founder, said.
Work began four years ago on developing Shobily Port, which covers a prime spot next to a causeway connecting Saudi Arabia to Bahrain. It has been split into sections and sold off in phases.
"Demand has been excellent," Shobily said. "Investors spent 1.8bn riyals buying plots over a five-hour sale held last week."
Several global companies have already signed deals worth 4bn riyals to build shops, high-rise apartments, a medical centre, a university and two hotel resorts.
Shobily was pleased the Saudi government was gradually introducing new regulations to encourage more international firms to relocate to the kingdom.
"This project will meet the requirements and needs of these firms and their employees," he said.
"I expect a lot of them to choose Khobar over places like Dubai as Saudi Arabia is the economic powerhouse in the Gulf." Historically, Shobily added, Al Khobar has had strong links with firms with large numbers of Western employees, such as oil giant Saudi Aramco.