Dubai, UAE — NEOM has finalized contracts worth SAR 21 billion ($5.59 billion) with investors for the expansion of the first phase of its residential communities to house the region’s growing workforce, making it one of the largest international public-private partnerships for accommodation.
The bidders for the first phase of the residential communities include leading Saudi Arabian companies such as Alfanar Global Development, Almutlaq Real Estate Investment Company (AREIC), Nesma holding Co., and Tamasuk involved via two separate partners: Al Majal Al Arabi Group Company and the Saudi Arabian Trading and Construction Company (SATCO).
The projects will see an additional 10 communities established across NEOM, adding capacity for 95,000 more occupants once the first phase of the project is completed, NEOM said in a statement.
The temporary accommodations, needed during the construction period of NEOM, are built sustainably as relocatable modular units which can be repurposed once the communities are no longer needed.
Nadhmi Al-Nasr, CEO at NEOM, said, “The newly formed partnerships mark an important milestone for the region and is a testament to the capabilities of our team and partners who rapidly achieved financial close on a record amount.”
NEOM is part of Crown Prince Mohammed bin Salman’s Vision 2030 plan to diversify Saudi Arabia’s oil-dependent economy.
It has been billed as a futuristic cityscape evocative of a sci-fi blockbuster — with everything from flying taxis to robot-maids.
A senior official told AFP last October that NEOM was on track to welcome its first businesses and residents by 2025.
Officials say its population will eventually top one million people.