Considerable foreign investor interest in Saudi real estate market, says Injaz Managing Director

Attending a panel discussion on the real estate sector at the Euromoney Saudi Arabia Conference on Wednesday, Al-Kadi said the foreign investors did have some concerns that need to be addressed by the local market.

He said:

"Foreign investors want things to move as quickly as they do in their home countries."

Al-Kadi indicated that the expected Saudi mortgage law will go a long way in assuaging investor concerns.

He also noted that SAGIA (Saudi Arabian General Investment Authority) is actively promoting inward investments.

"As the real estate markets around the world are reacting to global and regional trends, everyone is looking to Saudi Arabia as a positive market. Saudi Arabia's stability in the face of the financial crisis has considerably enhanced its reputation. Saudi is not just a huge market; it has a stable government, stable banking system, large-scale contractors and all other factors that attract foreign investment," he said.

Al-Kadi said there is big demand for residential units in the Kingdom, mainly from middle and low income families. As this has been the situation for some years, demand has been accumulating. Answering a question about the changing trends in the housing sector, Al-Kadi said there is a change in the design pattern of houses for Saudis.

He cited an Injaz study and said 30% of the population in Jeddah now live in apartments, and the number is increasing. The apartments are getting bigger with an average size of 150 square meters, he added.

Injaz Development Company was established in 2006 in Riyadh as a Saudi investment company and a master developer. It is specialized in designing and building comprehensive projects that form "cities within cities". It also acts as a real estate consulting company and investor. Injaz recently announce the Al-Gamra project in Riyadh; Marina, Injaz's flagship project, is considered one of the most important among the Kingdom's real estate projects. It is located on the Al-Khobar-Dammam corridor on the seafront, and will consist of residential units and commercial buildings, supported by infrastructure and community amenities such as roads, mosques and recreational facilities.