Knowledge City signs SAR 232.8M contract for 2 towers in Madinah Gate

Logo of Knowledge Economic City Co.

Knowledge Economic City Co. signed a SAR 232.84 million contract with Technical Electromechanical Works Co. Ltd. (TECHNO) for the electrical, mechanical, and plumbing (MEP) works on the Hilton Hotel Tower and a luxury-branded residential tower at the Madinah Gate project.

The contract value excludes VAT, with no related parties involved. As much as SAR 160.76 million has been allocated for the hotel and SAR 72.08 million for the residential tower, according to a Tadawul filing today, Dec. 23.

For more news and details on the projects

The agreement was inked yesterday on the sidelines of the Madinah Investment Forum held at the Madinah Chamber of Commerce.

The contract entails completing MEP works for the Hilton Hotel Tower, offering 384 five-star rooms. This is besides undertaking the luxury-branded residential tower, featuring 66 high-end apartments, as per the highest technical standards.

The 18-month contract is effective upon the contractor’s receipt of the site. Due payments will be made in monthly installments based on completed tasks, hence extending the relevant financial impact over the project’s duration.

Located in northern Knowledge Economic City (KEC) on King Abdulaziz Road, the Madinah Gate project features a 450-meter main road frontage. Phase one includes a commercial mall, the Hilton Hotel Tower, and a luxury residential tower.

Spanning 186,000 square meters (sqm) in area, the first and second phases will provide about 122,000 sqm of leasable space, according to the statement.