Ladun pens SAR 339m development agreement for mixed-use project

LADUN
4328 6.98% 1.84 0.12

Riyadh — Mubasher: Ladun Investment Company has signed a definitive real estate development agreement with Asbar Financial to execute a mixed-use project in Riyadh.

The agreement, signed on 4 October 2026, follows a memorandum of understanding previously reached on 14 April.

The project is situated on four land plots totaling 16,844 square meters in the Al Mounsiya district. The development will feature a hotel, luxury residential units, commercial shops, and administrative offices.

The estimated development cost has been revised to SAR 339 million, up from an initial estimate of SAR 250 million, following the completion of final designs and financial studies. This figure excludes land value and value-added tax.

Under the 48-month contract, Ladan Investment will manage design, construction, marketing, and sales.

The company will receive a development fee of 10% of total costs. Additionally, a performance incentive of 10% will be applied to returns exceeding an 18% internal rate of return.

This incentive will be shared between the developer and the fund manager at a ratio of 60% and 40%, respectively. Implementation remains subject to regulatory approvals and off-plan sale licenses.

On 31 August, the company commenced trading on the Main Market under the new symbol 4328, instead of the Nomu symbol 9535.

Source: Mubasher Source: {{details.article.source}}