ARDCO Joins Forces with FTG: A $932M Real Estate Initiative in Riyadh
Deal News | Dec 17, 2024 | Zawya
Saudi Arabia’s Riyadh Development Company (ARDCO) has entered into a joint venture with Turkey’s FTG Development as part of a strategic initiative to further develop the kingdom's real estate sector. Both companies will hold equal stakes in the newly established limited liability company. Simultaneously, ARDCO has set up a new real estate investment fund dedicated to supporting a $932 million Urban Wadi mixed-use development in Riyadh, a significant component of the ongoing Sports Boulevard Project. Originating from the mega projects initiated by Saudi Arabia in 2019, the Sports Boulevard is set to be a transformative linear park. The collaboration brings together ARDCO, FTG, and the Sports Boulevard Company, with Jadwa Investment Company stepping in as the fund manager. Despite the collaboration, specific ownership stakes in the investment fund remain unspecified at this time.
Sectors
- Real Estate
- Investment Management
- Construction and Development
Geography
- Saudi Arabia – The project is located in Riyadh, Saudi Arabia, and involves Saudi companies such as ARDCO and the Sports Boulevard Company.
- Turkey – FTG Development, a key partner in the joint venture, is based in Turkey.
Industry
- Real Estate – The article discusses a major real estate development project in Riyadh, highlighting the creation of a joint venture and investment fund for a mixed-use development.
- Investment Management – The involvement of Jadwa Investment Company as the fund manager signifies the significance of investment management in structuring the real estate fund.
- Construction and Development – The Urban Wadi project is part of a larger construction initiative in Riyadh, making construction and development a key aspect of the article.
Financials
- $932 million – The total value of the real estate project, which is funded by the investment fund.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Riyadh Development Company (ARDCO) | Target Company/Local Investor | Company | A Saudi Arabian company involved in real estate development and investment. |
| FTG Development | Partner/Foreign Funding Source | Company | A Turkish development company participating in the joint venture with ARDCO. |
| Sports Boulevard Company for Real Estate Development & Investment | Main Investor | Company | The main investor contributing its landbank to the project. |
| Jadwa Investment Company | Fund Manager | Company | Responsibly handles the management of the newly established real estate investment fund. |