Al-Futtaim to build Saudi Arabia’s biggest shopping mall


June 2, 2014 | By RetailME Bureau

Dubai-based Al-Futtaim Group has signed a memorandum of understanding to create Saudi Arabia’s biggest shopping mall. The deal with Riyadh-based Kayannat Real Estate Company will lead to the establishment of Al Diriyah Festival City, which will have approximately 2.7 million sqft of gross leasable area located to the west of the capital city.

The $1.6 billion super-regional mall will be anchored by Ikea, construction of which is expected to start soon and completion scheduled in 12 months. A luxury 500-room hotel and serviced apartments will also feature in the development, which has obtained all necessary building permits to move into construction.

Under the agreement, Al-Futtaim will manage all matters related to the Al Diriyah Festival City project providing investment and development management services to construct, develop, lease and operate the mall. “With a population of 30 million Saudi Arabia is the GCC’s biggest market with a booming retail sector expected to reach a value of $73.6 billion by the end of 2014, accounting for 17% of Saudi Arabia’s GDP,” says Omar Al Futtaim, vice chairman, Al Futtaim Group. “We are privileged to be able to enter into a partnership with a group of prestigious businessmen, including the franchisee of Ikea in the Kingdom, Dr Ghassan Ahmed Abdullah Al Sulaiman, in order to tap into this lucrative market and further contribute to the Kingdom’s economic development,” he adds.

“On this momentous occasion for Saudi Arabia’s retail sector it is with great pleasure that we partner with Al-Futtaim Group, with its proven track record in shopping mall development and operations. Once completed, Al Diriyah Festival City will elevate Saudi consumers’ retail experience to a whole new level,” observes Fahad Al Muqbal, Kayannat’s managing director.

Previous Article Next Article

SHARE

YOU MAY ALSO LIKE /


#Topshelftalks session at Food Business Forum 2024

Industry pioneers are embracing a comprehensive strategy that integrates consumer insights, digital 

Continue Reading

July 3, 2024 | By Anurima Das
#EdgeOfTomorrow session at Food Business Forum 2024

The regional grocery retail market is evolving fast keeping pace with constantly 

Continue Reading

July 3, 2024 | By Rupkatha B
#CartToCouch session at Food Business Forum 2024

If anything, the Middle East market is excited about quick commerce – 

Continue Reading

July 2, 2024 | By Rupkatha B
#EcoEchoes session at Food Business Forum 2024

From ethical and local sourcing to adopting cutting-edge technologies to curb food 

Continue Reading

July 2, 2024 | By Rupkatha B
#ByteSizedBreakthroughs session at Food Business Forum 2024

The regional grocery retail market is becoming more and more diverse, offering 

Continue Reading

July 2, 2024 | By Rupkatha B

Spinneys, the leading premium fresh food retailer, has announced the opening of 

Continue Reading

June 24, 2024 | By RetailME Bureau

Spinneys has announced the launch of The Kitchen by Spinneys, its first-ever 

Continue Reading

May 20, 2024 | By RetailME Bureau

In a move set to redefine the landscape of the Fast Moving 

Continue Reading

May 16, 2024 | By RetailME Bureau
Sunil Kumar and Ali Saeed Juma Albwardy, Spinneys

One of UAE’s leading fresh food retailers, Spinneys has announced its intention 

Continue Reading

April 19, 2024 | By RetailME Bureau
Laura Manning, Managing Director & Founder, BRW Society

Launched in 2019 by Laura Manning, UAE-based homegrown brand BRW Society completes 

Continue Reading

April 5, 2024 | By Rupkatha B
Rajiv Warrier, Chief Executive Officer, Choithrams

Since the launch of its first store in the UAE five decades 

Continue Reading

March 20, 2024 | By RetailME Bureau
Dr. Dhananjay Datar Chairman & Managing Director ADIL Trading Co. LLC

Dr. Dhananjay Datar Chairman & Managing Director ADIL Trading Co. LLC holds 

Continue Reading

February 29, 2024 | By Rupkatha B




Download Images RetailME Magazine