JEDDAH, 13 February 2006 — A feasibility study is being done on establishing two more economic cities — one in Jeddah and the other in the Eastern Province. The cities would be similar to King Abdullah Economic City in Rabigh, according to Muhammad Alabbar, chairman of Emaar Properties.
“The study has reached the final stage,” Alabbar pointed out. He said Emaar Middle East would carry out a number of projects in major Saudi cities. He thanked the Saudi Arabian General Investment Authority (SAGIA) and its chief Amr Al-Dabbagh for facilitating Emaar’s entry into the Kingdom.
Emaar KSA is the main developer of King Abdullah City. The company’s founders have agreed that it will have a capital of SR8.5 billion and 170 million shares, each with a nominal value of SR50. It will have a paid-up capital of SR5.95 billion.
Alabbar disclosed plans to float shares worth SR2.5 billion in an IPO soon after completing the necessary procedures.
“We have already started work on the project and the first family will be able to get a house in the city within 25 to 26 months,” he said.
Custodian of the Two Holy Mosques King Abdullah laid the foundation stone for the SR100 billion city in December 2005. The new age city will have a world-class seaport, an industrial district, a financial island, an education zone, resorts and a residential area.
Central to the mega project is the creation of a 2.6-million square meter new Millennium Seaport similar in size to the world’s top 10 ports. With its strategic location on the Red Sea and instant access to cities in the Kingdom, the port will have a designated area for light industry and logistics and be a natural platform for onward movement of goods to Europe, Africa, Asia and beyond.
The Industrial District, covering eight million square meters, will represent sectors such as downstream petrochemicals, pharmaceuticals, research and development activities as well as a number of educational institutions.
The waterside resort will include a compelling mix of waterfront hotels and boutique residences. The master plan envisages 3,500 well-appointed hotel and residential bedrooms and suites, premium villas, plus an extensive retail element and an international-class signature 18-hole golf course as well as an equestrian club.
The Financial Island will offer 500,000 square meters of office space for leading international and regional financial service providers, hotels and an exhibition and convention center. There will be two high-rise buildings that will offer sweeping views of the surrounding area.
