Emaar The Economic City Co. (Emaar EC) has already started the planning and design work for the Rixos Emerald Shores project in addition to the development phase, Ibrahim Binaquil, senior director, head of marketing & strategic partnerships- commercial developments, said.
He pointed out that the target date for operation is Q2 2023.
The capital of the investment fund that the company signed an agreement to establish will be a mixture between the pooled capital and loans from local banks, the official added in an interview with Al Arabiya TV.
He also indicated that the targeted capital that will be collected through Emaar, FTG Development and other investors that will be invited by Albilad Capital, the fund manager, is SR500 million ($133.33 million), with the rest to be financing from commercial banks.
There will be direct support from the Tourism Development Fund, Binaquil said, stressing the city’s ability to attract local or foreign investments.
He also indicated that the added value of the project for the shareholders is to enhance the city’s position as a tourist and entertainment destination on the Red Sea coast, in addition to raising the real estate value of the city’s land stock, which will positively affect the shareholder and investor. The project will also be the strategic starting point for the company to launch the city’s waterfront.
Earlier this week, Emaar EC signed a framework cooperation agreement with the Tourism Development Fund, FTG Development Co., Albilad Investment Co. and Ekofine Holding BV to establish a SAR 1.8 billion closed and private investment fund, according to data compiled by Argaam.