Saudi’s PIF sets up Al Balad Development Company to transform Jeddah’s historic district

Image: PIF/ X

Saudi’s Public Investment Fund (PIF) has established Al Balad Development Company (BDC).

The launch of BDC aligns with PIF’s strategy to diversify Saudi Arabia’s economy through developing and enabling strategic sectors, including real estate and tourism – in line with the goals of Vision 2030.

The company will be the primary developer of Al Balad district in Jeddah.

It will focus on improving the district’s infrastructure, overseeing the restoration of historic buildings in Al Balad, and developing service facilities as well as recreational, residential, commercial, hotel and office spaces.

The overall project development area will comprise approximately 2.5 million square metres, with a total built up area of 3.7 million square metres.

This includes 9,300 residential units, 1,800 hotel units and around 1.3 million square metres of commercial and office space.

#PIF has today announced the establishment of Al Balad Development Company (BDC) to become the main developer of Jeddah’s historic Al Balad district, in line with the continuous efforts led by HRH Crown Prince Mohammed bin Salman.

Learn more: https://t.co/9xaGMeko5W pic.twitter.com/clSZgHbK6i

— Public Investment Fund (@PIF_en) October 3, 2023

The company will collaborate with the private sector and specialists to develop the area’s infrastructure according to the best standards of urban planning for historic areas, taking into account environmental sustainability and preserving the unique heritage of Historic Jeddah: a UNESCO World Heritage site.

PIF aims to enhance Jeddah’s status as a economic, cultural and tourism hub

The key aim is to transform Jeddah into a leading tourism destination that attracts visitors from around the world, thus contributing to its economic development, with the company also working to offer attractive investment opportunities and quality commercial options for the people of Jeddah.

BDC aims to provide a rich experience to explore the cultural and historic dimensions of the district, by providing an integrated environment that attracts residential, work, cultural and recreation development, contributing to quality of life and improving the visitor experience.

Al Balad is a well-known Red Sea port, featuring a unique urban character and distinctive coral limestone architecture.

In 2021, Saudi Crown Prince and Prime Minister Mohammed bin Salman bin Abdulaziz launched the ‘Revitalize Historic Jeddah’ initiative, as part of the Historic Jeddah Development Project.

Earlier in July, PIF launched a new company to advance the growth of the kingdom’s ​​tourism sector.

Read: Saudi Arabia’s PIF sets up company to boost tourism sector

The new company, the Saudi Tourism Investment Company (Asfar), will invest in new tourism projects and develop attractive destinations with hospitality, tourist attractions, retail, and food and beverage offerings in cities across the country.

Asfar will enable the private sector through co-investment opportunities, and by creating an attractive environment for local suppliers, contractors, and small and medium-sized enterprises  to develop tourism projects and destinations.