Makkah Construction purchases land plot worth SAR 980M

Makkah Construction and Development Co. purchased a land plot in an auction, held in Makkah by Adeer Real Estate Co. on Sept. 30, for SAR 980 million, including commission fees and real estate tax.

In a statement to Tadawul, the company said the land plot is located on Ajyad street, Makkah, with a total area of 6,985.88 square meters (sqm), approximately 500 meters away from the Grand Mosque plaza.

The transaction will be financed from the company's own resources and bank facilities.

The land will be used for the development of a mixed-use real estate asset comprising a hotel and a mall, consistent with the company’s strategic direction.

The transaction was made in line with the company’s growth strategy to strengthen its portfolio of prime assets in close proximity to the Grand Mosque and create long-term value for shareholders through the development of income-generating assets that support recurring income.

The transaction will enhance the company’s assets, the statement said, adding that any material developments will be announced in this regard.