Saudi Arabia’s RUA AlHaram AlMakki and Malaysia’s MRCB International will explore a transport-oriented mixed-use development at King Salman Gate in Makkah.
Saudi property developer RUA AlHaram AlMakki and Malaysia’s MRCB International have signed an agreement to explore a transport-oriented mixed-use development at King Salman Gate in Makkah, with an indicative gross development value of about SR21 billion ($5.5 billion).
The proposed project would include a public bus terminal alongside residential, commercial, retail and other mixed-use facilities, according to RUA.
The development would form part of King Salman Gate, a major project being developed by RUA, which is owned by Saudi Arabia’s Public Investment Fund (PIF).
The agreement was signed in Kuala Lumpur by RUA CEO Bambang Kajairi and MRCB Group Managing Director Dato’ Imran Salim. PIF Governor Yasir Al-Rumayyan and senior officials from both companies attended the signing ceremony.
MRCB said it would bring its expertise in transit-oriented development and integrated transport hubs to the proposed project. Its portfolio includes KL Sentral, Malaysia’s largest integrated transportation hub.
The companies said the planned development is intended to improve transport connectivity and accessibility for pilgrims and visitors to Makkah while integrating mobility infrastructure with accommodation, retail outlets and other services.
The proposed project is centered on combining transportation facilities with mixed-use development, including residential and commercial components. The public bus terminal would serve as a key part of the planned transport-oriented development.
RUA and MRCB will also explore potential structures for the project’s development, financing and delivery. The partnership comes as RUA seeks to attract international investment and development expertise to King Salman Gate.
The indicated SR21 billion valuation is not a final project value. The companies said it remains subject to due diligence, regulatory approvals, financing arrangements, project phasing and the execution of definitive agreements.
The agreement therefore establishes a framework for the two companies to assess the project and potential investment and delivery models before proceeding with final commitments.
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