Dubai Investments Forms JV To Develop Projects In Saudi

Dubai Investments (DI), a listed investment firm, has formed a joint venture with Red House Sal, a Saudi Lebanese joint stock company to operate in the Kingdom.

The JV, in which both firm will have a 50 per cent share, will manage and operate mega mixed-use real estate projects across the Kingdom, the company said in a statement.

The new firm will begin operations with a project in Riyadh while other significant projects are in the pipeline, DI said.

The JV’s first project will be an 11 million square metres development called Riyadh Investment Park, a project that is similar to Dubai Investments Park.

Developed in two phases, the investment park will include warehouses, commercial showrooms, labour amenities, offices and other logistics facilities.

“The decision to launch a joint venture company in Saudi Arabia is a major step forward in our journey to expand our international operations,” said Khalid Bin Kalban, managing director and CEO of Dubai Investments.

“Saudi Arabia is a strategic market in our growth plans, and offers unmatched growth potential- especially in the real estate sector.”

“We will leverage our core competencies in integrated mega-project developments, through our projects in Saudi Arabia.”

DI, which reported a 63 per cent growth in annual profit last year, is also planning to build a similar industrial zone in Angola.

Kalban said earlier this year that the company is still considering various plots of land in Angola for the project. He added that DI will own more than 80 per cent of the venture in Angola.

DI, which is 11.5 per cent owned by state fund Investment Corporation of Dubai, also said that it planning to float one of its subsidiaries on the Dubai market in 2016.