Cenomi Centers signs 2 agreements with Saudi Downtown

Arabian Centres Co. (Cenomi Centers) signed on Aug. 18 two agreements with Saudi Downtown Co., one of Public Investment Fund's units, according to a statement to Tadawul.

The first agreement involves development services for retail and shopping center components of the Al Madinah Downtown Project, while the second agreement includes 25-year lease and operation for the shopping center.

The value of the development services contract exceeds 5% of the company’s 2025 revenue. Meanwhile, the promise-to-lease contract currently has no value.

Under the first deal, Cenomi Centers will provide development services for the Al Madinah Downtown project. It will also manage and oversee the project’s development, design, procurement and execution phases until completion.

The agreement will remain in force for three years from the effective date or until the definitive lease agreement is executed, whichever occurs first. It may be extended for an additional two years upon mutual consent of both parties.

After the lapse of the agreement period, a 25-year lease and operation agreement for the shopping mall will be executed upon completion of the project.

The development services agreement is expected to have a positive impact on the company’s revenue and net profit during the project execution period. The financial impact will commence once the agreement becomes effective and project implementation begins.

Conversely, there is no financial impact at present from the second agreement, as it constitutes a promise to lease and operate the shopping mall.

Both deals involve no related parties, the statement added.

Both agreements build on the growing strategic partnership between Cenomi Centers and Saudi Downtown, extending the collaboration established through the Al Khobar Downtown project to Al Madinah. The deals also reinforce their shared vision to develop integrated urban destinations across the Kingdom.

Saudi Downtown is developing destinations and urban centers with a sustainable economic and social impact in targeted cities across the Kingdom. The projects will help improve quality of life and stimulate economic activity in those cities, while creating new options and opportunities across various sectors, including hospitality, tourism, retail, entertainment, office space and residential properties.

Cenomi Centers reported a net profit of SAR 2.28 billion in 2025, of which 5% equals around SAR 114.42 million, data compiled by Argaam showed.

Agreement Details