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Alramz Real Estate Co. has agreed to acquire a 77% stake in Al Ahli Aleen Enbar Real Estate Fund for SAR 133 million, expanding its ownership in the Qurtuba 2 mixed-use development project in Riyadh. The project spans 130,390 square meters and is expected to include 1,800 residential units and 250 commercial/office units. Alramz currently owns 23% of the fund and will fully acquire the remaining shares, aligning with its strategy to strengthen strategic real estate holdings in high-demand areas. The transaction is projected to enhance the company's financial performance from 2026 to 2031, subject to regulatory approvals and contractual procedures.
This acquisition strengthens Alramz's position in Riyadh's real estate market, a sector benefiting from Saudi Arabia's Vision 2030-driven urbanization. The Qurtuba district's limited supply and high demand make the project attractive for long-term capital appreciation. Traders should monitor Alramz's stock for potential volatility as the deal progresses, given the company's focus on high-quality assets and its track record in mixed-use developments.
For Saudi investors, the transaction highlights the growing trend of institutional consolidation in real estate. The project's proximity to Prince Mohammed Bin Salman Road (Sports Boulevard) adds to its strategic value. Key risks include regulatory delays and execution risks in development contracts. Future disclosures on contract terms and project timelines will be critical for assessing the deal's impact on Alramz's balance sheet.
