Arriyadh Development Co. Announces an update on Signing a partnership agreement with the aim of establishing a special purpose company between both the Saudi Real Estate Company and Riyadh Holding Company, for the purpose of developing educational complexes.
| Element List | Explanation |
|---|---|
| Introduction | Referring to Riyadh Development Company's (ARDCO) announcement of the signing of a partnership agreement with the aim of establishing a special purpose company between the Saudi Real Estate Company and Riyadh Holding Company, for the purpose of developing educational complexes. |
| Previous Announcement | Signing a partnership agreement with the aim of establishing a special purpose company between both the Saudi Real Estate Company and Riyadh Holding Company, for the purpose of developing educational complexes. |
| Date of Previous Announcement on Saudi Exchange’s Website | 2024-04-28 Corresponding to 1445-10-19 |
| Hyperlink to the Previous Announcement on the Saudi Exchange Website | Click Here |
| Latest Developments Of The Announced Event | The development and implementation of two projects for two educational complexes (one for boys and one for girls) of the Riyadh Schools Group (under the umbrella of the Mohammed bin Salman Foundation - Misk) has been completed in the Tilal Al Riyadh Community in Al-Malqa district, on two independent lands:
1. The first educational complex project (for boys) on the first plot of land with an area of 10,296 square meters with a built-up area of 14,500 square meters. 2. The second educational complex project (for girls) on the second plot of land with an area of 10,875 square meters with a built-up area of 20,500 square meters.
The total areas of the two educational complexes exceeding 21,000 square meters, with built-up area of 35,000 square meters, in a record period according to the approved schedule and within the budget allocated for the two projects.
The total cost of the two projects is about SAR 275 million, with Riyadh Development Company (ARDCO) owning 50% of both projects. The company established for this purpose has leased both complexes to the Riyadh Schools Group (under the umbrella of the Mohammed bin Salman Foundation - Misk), with a 25-year contract starting from 1/8/2025, with an annual rental value for the first five years of SAR 22 million, increasing by approximately 5% every five years. Riyadh Development Company's share will be reflected in the affiliate company’s net profit during the third quarter of 2025. |
| The costs associated with the event, and if they have changed or not with indication of the reasons. | Both projects have been completed according to the allocated and approved budget. |
| Additional Information | This step comes in line with the company's strategy, which was launched at the beginning of 2023 under the theme "Invest for Growth", in the domain of real estate development and development management, which focuses on investment and the development of high-quality projects to achieve a balance between sustainable investment return and added value for the city. Through it, we seek to develop integrated real estate assets that comply with the needs of the market and meet the highest technical and engineering standards. The strategy also focuses on diversifying the investment portfolio across vital real estate development sectors such as residential, educational, logistics, as well as mixed-use projects, which contributes to supporting the economic growth of Riyadh and enhancing the company's role as a major developer in integrated urban development projects. |
Comments