They add that the government may have to pay over the odds to take over properties for the King Abdul Aziz Street scheme because of ongoing real estate development projects in the central area around the Grand Mosque.

“These units were evaluated two years ago and since then real estate prices have gone up. This necessitates a re-evaluation of these confiscated properties,” said a real estate expert, who did not want his name published.

He said more than 2,500 real estate units were confiscated for the development of the Grand Mosque’s northern plazas and their owners were paid more than SR40 billion in compensation.

“This compensation has helped the real estate sector to flourish. Prices have increased, in some cases, by 100 percent.”

The realtor said businessmen and investors had rushed to purchase real estate units in the five districts through which the street passes.

The road extends from behind the Jabal Omar project near the Grand Mosque to the Jeddah-Makkah Expressway.

Abdullah Al-Haig, a realtor, expected the increase in the expropriated properties’ value to reach more than 25 percent in some instances. “Prices of some plots near the central area around the Haram have increased by 100 percent,” he said.

“The real estate market is experiencing a golden era due to the many development projects currently being implemented in Makkah.”

Al-Haig said the development of the central area and the Grand Mosque’s northern plazas, in addition to the construction of four ring roads, have greatly contributed to the revival of the city’s real estate market.

A member of the real estate evaluating committee, who asked not to be named, said the prices of some of the properties to be confiscated might drop depending on the criteria used for evaluation, which include the size of the property, its location and its proximity to a main or branch road.