Shuaa to launch series of Saudi realty funds

This follows an alliance with Jabal Omar Development to take up high-profile projects there

Shuaa Capital will launch and manage a series of funds and other investments targeted at real estate opportunities in Saudi Arabia.

This follows a Memorandum of Understanding (MoU) that the Abu Dhabi Financial Group (ADFG) — Shuaa’s largest shareholder — entered into with Jabal Omar Development Company (JODC), a publicly listed property firm in the kingdom.

That deal would see ADFG and JODC take up development opportunities in Makkah and elsewhere in the kingdom. The funds would specifically go for “centrally located real estate hotspots”.

JODC’s flagship project, Jabal Omar, is a mega development within walking distance of The Grand Mosque of Makkah.

The scope of the agreement has now been extended to bring in Shuaa to handle the series of funds. Shuaa Capital has a Saudi subsidiary, which has been licensed by the Capital Market Authority since 2008.

It has been involved in a series of property funds and in managing the development of signature projects. It has delivered hospitality properties in Jeddah, Riyadh and, shortly, in Dammam. It also launched a 1.4 billion Saudi riyal (Dh1.37 billion) mixed-use development in Wadi Al Hada in Riyadh.

Beneficial partnerships

“Shuaa’s established record in managing real estate funds and developments within the kingdom coupled with Jabal Omar’s reputation and achievements in building prime mega developments will help create a favourable and mutually beneficial partnership model,” said Jassim Al Seddiqi, chairman of Shuaa Capital.

“We are delighted to be partnering with Jabal Omar on upcoming real estate investment projects throughout Saudi Arabia.”

The alliance is one of several planned ventures, aimed at securing a significant exposure within Saudi Arabia, Shuaa said in a statement.