Riyadh Development signs SAR 227M partnership deal to develop logistics complex in Riyadh

Riyadh Development Co. (ARDCO) signed today, Dec. 9, a strategic partnership agreement to develop a logistics complex project in Riyadh with Agility Logistics Parks for SAR 227 million.

In a statement to Tadawul, the company said the contract entails developing the 97,904-square-meter logistics complex project, located in Al Remal District, Riyadh, in a bid to create an integrated logistics complex with international standards.

The project includes the construction of 58,000 square meters of Grade A warehouses.

ARDCO owns 40% of the project’s total value, while Agility Logistics holds the remaining 60% stake.

Work on site is expected to begin in 2025, the statement added, noting that the logistics complex is scheduled to open in the second half of 2026.

No related parties are included in the deal and the related financial impact will be announced later in due course, the Saudi-listed developer stated.

In early 2023, ARDCO launched its strategy under the theme “Invest for Growth,” under which it defined its approach that revolves around banking on value-added partnerships.

This strategy defined its sectorial priorities, as it focused specifically on the real estate development sector and development management, represented in several sub-sectors of high priority, including logistics real estate development. This is to keep pace with the rapid growth in Riyadh’s economy and its projects.