Asteco launches first real estate venture in KSA

Representing an investment of USD 40 million, Buildex will be located in the heart of the Eastern Province in the city of Al Khobar and will serve the growing construction industry in the region.

Andrew Chambers, Managing Director of Asteco, said:

"Leasing for the project has already begun and we've received a healthy response so far. Tremendous growth is being witnessed across all industries in the Kingdom of Saudi Arabia, especially in the residential, commercial and construction sectors. Buildex will serve this growing market and is aimed at a niche audience."

Due for completion in the first quarter of 2007, the new five-storey development will cover an area of 80,000 square meters with a total leasable area of 50,000 square meters. This unique development will consist of an office floor and will house design, architecture, gardening and building trade companies serving both wholesale and retail markets. Buildex can accommodate up to 200 tenants and will employ more than 600 people.

Following this major contract win in the Kingdom, Asteco's permanent office in Saudi Arabia is now fully operational. Asteco's Retail Division Director Tony Abdel Ahad will head the company's Saudi operations and has appointed Jassam Al Khafaji to manage the Al Khobar project.

Abdel Ahad said: "Buildex marks Asteco's entry into Saudi Arabia and we intend to expand our client portfolio. A team of five will be in place in the coming months and office openings in Riyadh and Jeddah are planned for 2007."

Founded in Dubai in 1985, Asteco is the UAE's largest property services company. Its services include retail, commercial and residential sales and leasing; strategic consultancy; property management and marketing; feasibility studies and valuations; and research and investment.