Diriyah awards $727.9m contracts for hotels and residences

Diriyah, Saudi Arabia - Diriyah Company has awarded two major construction contracts worth a combined $727.9 million (SAR 2.729 billion) for luxury hotels and residential assets at Diriyah Square.

The awards represent another step forward for the hospitality and residential programme within the pedestrianised heart of the Diriyah development.

MAN and MAG JV has secured a $353.1 million (SAR 1.324 billion) contract covering three hotels and two residential assets.

Urbacon Saudi Company S.P.C. has been awarded a $374.8 million (SAR 1.406 billion) contract for three hotels and one residential asset.

Both contracts include façades, blockwork, fit-out, mechanical, electrical and plumbing works, as well as external works for the properties.

Diriyah Company said the combined development will provide 413 luxury hotel rooms and 34 branded residential units in Diriyah Square.

Jerry Inzerillo, Group CEO of Diriyah Company, said: “The announcement of these contracts marks another important milestone as we continue to develop our world-class portfolio of globally renowned hotels and residences in Diriyah.

“When complete, these hospitality and residential assets will deliver a truly world-class visitor and residential experience in the bustling heart of our pedestrianized Diriyah Square precinct where we will also have over 400 iconic retail and lifestyle brands. Set within a built environment inspired by centuries of Najdi architectural heritage, they will further strengthen Diriyah's position as one of the world's greatest gathering places.”

Diriyah is planned to accommodate nearly 34 luxury hotel brands across the Diriyah and neighbouring Wadi Safar masterplans, including several hospitality brands entering Saudi Arabia for the first time.

The hotels will support the development's target of attracting 50 million visits annually once the wider $63.2 billion (SAR 237 billion) project is complete.

Both contractors have previously secured major packages from Diriyah Company. Urbacon Saudi Company S.P.C. is involved in a $2.1 billion (SAR 8 billion) joint venture to develop four additional hospitality assets and the Royal Diriyah Equestrian and Polo Club at Wadi Safar.

MAN and MAG JV was also awarded a $244 million (SAR 917 million) contract for construction of the Grand Mosque in Diriyah's second phase.

The latest awards add to ongoing construction activity across the Diriyah and Wadi Safar masterplans as Diriyah Company expands its hospitality and branded residential portfolio.