New Investment In Roads, Utilities, and Telecommunication Networks for Industrial Valley
The Industrial Valley, located in King Abdullah Economic City (KAEC) has assigned two construction contracts that will launch the district into its Phase 3 development plans. Phase 3 includes 5 million sqm of land centrally located in the Industrial Valley. Phase 3 stretches from the Valley perimeter down to the coast. The mixed-use space includes both residential and industrial plots to provide housing for Valley workers.
Construction contracts were awarded to Saudi Binladin Group and Salem Saleh Al-Harithi Company. Saudi Binladin Group will develop 1.44 million sqm of the area which will cost SR 83.47 million. Salem Saleh Al-Harithi Company will oversee the development of 1 million sqm of Phase 3, which will cost SR 49.35 million. The two companies were scheduled to complete construction towards the end of 2017.
Phase 3 will include infrastructural development such as roads and road lighting. As well, the contracts include the development networks for roads, power supply, and telecommunications. Also covered are the development of sewage and drainage runoff to prepare high caliber zones of industrial land for lease and sale.
Rayan Qutub, CEO of the Industrial Valley, points to Phase 3’s central location within the Industrial Valley as being one of the things that attracts logistics providers to the Phase 3 development.
To date, the company has sold 1.75 million sqm of Phase 3 to major companies such as Abbar Group, Naghi Group, and Sunbulah Group. The remaining 3.25 million sqm of land are available for sale with minimum sale area of 50,000 sqm, and available for lease with a minimum lease area of 10,000 sqm.
The Industrial Valley is the fastest-growing manufacturing and logistics hub in the region and has generated significant interest from national and international companies who are investing and creating job opportunities in the area.
To date, 120 local and global brands have invested in Industrial Valley, including Pfizer, Ikea, Toys R Us, Volvo, Sanofi, MARS, and Johnson Controls.
The Industrial Valley offers investors the opportunity to lease or buy professionally-managed, fully-serviced industrial plots. Phase 3, in particular, has dedicated zones for Food and Pharmaceuticals Built-in incentives such as no personal income tax and no tariffs on food imports are designed to attract foreign investment.
The Industrial Valley earned the distinction of being the Best Industrial Development Project of 2016 by Capital Finance magazine. The Phase 3 development is on schedule with the city’s master plan.