Jadwa Investment launches first real estate fund in Makkah

Saudi Arabia’s Jadwa Investment has launched the Jadwa Al Azizia Real Estate Investment Fund, its first real estate fund in Makkah, the company announced in a statement.

The fund will develop two towers in the city’s Al Azizia area a total cost of SAR 440 million. The developments will be used for pilgrim accommodation, increasing the number of hotel rooms in Makkah by 900.

“We see a significant growth opportunity in Makkah's hospitality sector,” the company’s chief executive Tariq Al-Sudairy said. “In line with our real estate investment strategy, the Fund expands the firm's real estate portfolio and provides another vehicle for our clients to realize capital appreciation,” he added.

Mega projects in the pipeline are expected to spur demand for hospitality services in the holy city by 20 percent over the next three years, the investment firm added. These include the expansions of Al Masjid Al Haram and Jeddah’s airport, along with the Al-Haramain high-speed railway, Masha'er railway, and most recently, the Makkah metro project.