RIYADH (Agencies): In a bid to reshape the residential landscape in Saudi Arabia, Alfanar Global Development has announced that it will inject SR10 billion ($2.7 billion) to develop five residential communities in NEOM, the smart city currently under construction in the Kingdom.
The announcement from Alfanar comes following an array of agreements inked by NEOM with investors for the first-phase construction of its residential communities to accommodate the growing workforce in the region.
Earlier this month, NEOM revealed that it had finalized contracts worth SR21 billion to develop these residential communities, and Alfanar was one of the preferred bidders.
Alfanar Global Development, a part of Alfanar Group, said it had achieved financial closure with three major commercial banks in the Kingdom — Riyad Bank, Saudi Awwal Bank and Alinma Bank.
The company revealed that the scope of the contract includes the development, construction and operation of these residential communities within NEOM.
The five residential communities will cover 4 million sq. meters and accommodate 50,000 occupants upon completion.
“The region of NEOM is born from the ambition of Saudi Arabia’s Vision 2030 to transform industries. We are excited about the opportunity to contribute to this transformation and to deliver solutions that will redefine the future of smart communities,” said Sabah Al-Mutlaq, vice chairman of Alfanar.
He added: “Our fully integrated engineering teams bring a wealth of experience and are dedicated to delivering quality and maintaining safety while successfully fulfilling all requirements for these communities.”
These temporary residential projects, used by the workforce during the construction period of the futuristic city, will be built sustainably as relocatable modular units which can be repurposed once the communities are no longer needed.
They will include many lifestyle facilities, such as multi-purpose sports fields, cricket ovals, tennis courts, volleyball courts, basketball courts, swimming pools and entertainment venues.
NEOM is widely considered Saudi Arabia’s most ambitious project, as the Kingdom is eyeing to diversify its economy aligned with the goals outlined in Vision 2030.
The $500 billion giga-project construction is progressing steadily in the Tabuk Province in northwestern Saudi Arabia. Upon completion, it is expected to become one of the most popular tourist destinations in the Kingdom.