The State Properties General Authority (SPGA) and the National Center for Privatization & PPP (NCP) have announced that eight companies and consortiums have qualified for the Quality Valley Riyadh Project, a major mixed-use development planned on the headquarters site of the Saudi Standards, Metrology and Quality Organization (SASO) in Riyadh.
A Saudi urban development initiative, Quality Valley Riyadh Project is being developed in capital Riyadh and involves the Ministry of Finance, the Ministry of Investment and other government entities.
*Consortium of Abdulrahman Saad Al Rashid & Sons Company with Saudi Bonyan Real Estate Investment, and Al Rashid Real Estate (Artar)
*AREIC with Skybridge and Al Bawardi Holding Group
*Ajdan Real Estate Development with Al Oula Real Estate Development
*Sumo International Investment with Buna Holding, and Buna Al Khaleej Contracting and the consortium of Hiyazah Real Estate Development Company with Ahmed Mohammed Al Saif & Sons Trading and
Investment, Bait Al Mawared Contracting, and Assets Facilities Management.
Gulf Construction had in April reported that SPGA and NCP had launched the Expression of Interest (EoI) phase for the development of the Quality Valley project, under a public-private partnership (PPP) design, build, finance, operate, maintain, and transfer model.
A total of 59 companies had submitted EoIs for the project covering 36 developers, 11 contractors, three consultants, six equity investors and three firms from the financial services sector.
The project scope for the winning bidder includes development of the headquarters site of SASO in Al Muhammadiyah District of Riyadh, and transforming it into an integrated mixed-use masterplan spanning over 191,000 sq m.
The project aims to create an urban destination that combines government and commercial office spaces, retail components, as well as the development of mosques, landscaped areas, roads, and pedestrian pathways, stated the report.
The contract is for a duration of 32 years (in addition to a three-year construction period).
According to NCP, the Quality Valley project seeks to optimise the utilisation of state assets and achieve financial sustainability, in line with Saudi Vision 2030 and the National Transformation Program.
As per the deal, the private-sector partner will be responsible for the commercial development and investment of the commercial site, with flexibility to optimize the asset mix in accordance with applicable guidelines and required approvals.
Additional works will include the development of shared and service facilities, including a mosque, parking facilities, landscaping, internal roads, open spaces, and pedestrian pathways. At the end of the concession period, the developed facilities will be transferred to the procuring authority, it added.-TradeArabia News Service
