Al Shatea Real Estate Fund Acquires Jeddah Land for $50mln Development
Deal News | Apr 21, 2025 | Zawya
Al Shatea Real Estate Fund, with a 15% stake held by First Avenue Real Estate Development Company, has completed the acquisition of a commercial plot of land in Jeddah's Al Shatea district for SAR 188 million. This 15,000 square meters site on Sari Street is earmarked for a mixed-use development project, encompassing commercial, office, residential, and hospitality components. The acquisition aligns with the fund's strategy to enhance indirect real estate investment returns. Additionally, First Avenue previously engaged in a SAR 57 million brokerage agreement with Sarah Al Lu'lu'a Real Estate Company in January.
Sectors
- Real Estate Development
- Investment Management
Geography
- Saudi Arabia – The acquisition and planned development project are located in Jeddah, Saudi Arabia.
- Jeddah – Specifically, the land acquisition takes place in the Al Shatea district of Jeddah.
Industry
- Real Estate Development – The article discusses the acquisition of a land plot for development into a mixed-use project, highlighting the real estate development sector's involvement.
- Investment Management – First Avenue's strategic investment through Al Shatea Real Estate Fund to enhance returns exemplifies investment management activities.
Financials
- SAR 188 million – The purchase price for the plot of land in the Al Shatea district of Jeddah.
- SAR 57 million – Previous brokerage agreement value between First Avenue and Sarah Al Lu'lu'a Real Estate Company.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| First Avenue Real Estate Development Company | Shareholder (15%) in Al Shatea Real Estate Fund | Company | Holds a 15% stake in Al Shatea Real Estate Fund and is involved in real estate development. |
| Al Shatea Real Estate Fund | Acquirer | Company | The fund that acquired the land in Jeddah's Al Shatea district for development. |
| Sarah Al Lu'lu'a Real Estate Company | Broker | Company | Engaged in a brokerage agreement with First Avenue for real estate transactions. |