Alistithmar Capital, an investment company owned by the Saudi Investment Bank, has inked an agreement with Safa Investment Co. to launch several real estate funds targeting the residential space in key cities within the Kingdom, with particular focus on Riyadh, according to The Rahnuma.
The investment vehicles will acquire land in the targeted areas and develop high-quality residential complexes, in an attempt to bridge the gap between demand and supply in the real estate market. The projects will target strategic, vital areas in the most prominent neighborhoods in Riyadh and other cities. The first fund is expected to be worth $292.9 million.
Alistithmar’s cooperation with Safa Investment is expected to unlock opportunities to achieve greater returns, according to Khalid Al-Rayes, CEO of Alistithmar Capital.
