Saudi’s PIF to lead $4.8bn redevelopment of Jeddah’s corniche

Saudi Arabia’s Public Investment Fund (PIF) is leading a SAR18bn ($4.79bn) redevelopment of Jeddah’s corniche.

The project aims to turn the waterfront area into a thriving downtown that will serve as a tourist destination and a residential and commercial hub with 12,000 housing units as well as shops and attractions, according to Saudi Press Agency.

The overall project is divided into several areas with 42 per cent of the space residential, 35 per cent retail and entertainment, 12 per cent office and 11 per cent hotels and hospitality. When completed it will cover 5 million square metres and be able to accommodate 58,000 people.

The design includes museums, a cultural and social area, an activities centre, a business and innovation hub, a shopping area, a garden area, recreational parks with sporting activities, a hospitality area featuring hotels and resorts, a marina and a beach area.

Construction is scheduled to begin in the first quarter of 2019 with the first phase expected to be completed in the fourth quarter of 2022.

The total investment value of the corniche area is expected to be SAR18bn over 10 years and it is projected to create 36,000 jobs.

SPA said the Jeddah corniche was in line with the kingdom’s Vision 2030 plan to develop tourism sites and part of an aim to make the city among the top 100 globally.

The PIF recently launched an SAR10bn entertainment investment firm with the intention of bringing home up to a quarter of the $20bn currently spent overseas by Saudis, who are accustomed to travelling abroad to see shows and visit amusement parks.

Read: Saudi sovereign fund PIF launches SAR10bn entertainment investment firm

Its current projects also include a 30,000 square kilometre stretch of islands, beaches and other attractions on the Red Sea designed to attract international tourists.

Read: Saudi unveils major Maldives-inspired tourism project on the Red Sea