The King Salman Park Foundation has awarded a major development contract for a residential-led mixed-use district being set up in Riyadh’s King Salman Park to a consortium led by Kolaghassi Development Company.

The project, known as Package 5, will be backed by a Saudi-domiciled investment fund regulated by the Capital Market Authority and managed by Mulkia Investment Company, said a statement from King Salman Park Foundation. 

The total value of the development exceeds SAR11 billion ($3 billion), the Foundation said, adding that the parties are progressing definitive agreements.

The announcement was made during the MIPIM 2026 property conference in France and forms part of the Foundation’s broader real estate investment programme.

Metro-linked district

Strategically located next to the King Salman Park metro station, the development will have a total built-up area exceeding 1 million sq m. The residents will have greater connectivity to central Riyadh and other parts of the city.

King Salman Park is one of Riyadh’s flagship urban development projects aimed at creating a large-scale mixed-use district in the Saudi capital.

The King Salman Park Foundation said it had secured private-sector commitments worth more than $3.8 billion across multiple mixed-use districts in King Salman Park, bringing total committed investment to more than SAR20 billion across five development packages.

Kolaghassi Development Company will lead the project alongside Al Othaim Investment, one of the kingdom’s most  established real estate players and US-based RXR, a globally active real estate investor and operator with significant experience in large-scale mixed-use urban environments.

International investment

The development will be financed through a Saudi-based, regulator-approved investment fund bringing together Saudi and international investors, the foundation said.

Under the structure, the foundation will contribute the land to the fund, while private-sector partners and local banks will provide capital and development expertise.

The participation of international investors and financing from local lenders highlights growing investor interest in large-scale real estate projects in Riyadh, the foundation said.