Saudi-based Sumou Real Estate Company has announced the signing of an agreement with the National Housing Company for the development of a key plot area of 82,482.66 sq m within Dahiyat Al Fursan 1 and 2 in Riyadh for the construction of various housing units.
The key residential project, which is being developed at an investment of SR403 million ($107.3 million), is likely to be completed within 42 months, said Sumou in its filing to the Saudi bourse Tadawul.
The project will be financed based on off-plan sales and partially on equity, it stated.
The Saudi group said the project is expected to have a positive impact on the company’s results at the start of sale and implementation.
Earlier this month, Sumou had inked a marketing agreement with Adeer Real Estate company for its Al Samiya project in Area No. 2 of Abyar Ali project in Madinah involving a 128,740-sq-m plot area allocated to the group by the National Housing Company.
Under the Al Samiya residential project in Madinah, Sumou will build a total of 507 residential villas on the allocated land at an investment of SR540 million.
As per the deal, Adeer Real Estate will be receiving 2.5% from the value of sold units for marketing and selling sold units, it added.