The company plans to launch two more projects in Riyadh to grow its regional portfolio.
The Trump Organisation plans to start new projects in Saudi Arabia as it strengthens its ties with the region.
On Wednesday, the company announced a SAR 2 billion ($533 million) residential project in Jeddah, in partnership with London-listed Dar Global. The Trump Organisation also plans to begin two more projects in Riyadh, according to its executive vice president, as reported by The National.
The company did not disclose the total cost or timeline for the Riyadh projects. However, Trump Tower Jeddah will include around 500 units and is expected to be finished by 2029. The 47-floor tower will have an average price of SAR 4 million per unit.
Saudi Arabia’s market is thriving, and the country is focused on growth, said Eric Trump. “Saudi Arabia’s vision is incredible, and I encourage people to see it. Once they see it, they realize there is a whole new frontier…. the vision is among the best anywhere in the world,” he added.
Saudi Arabia is shifting its economy away from oil as part of the Vision 2030 plan.
As part of this strategy, the kingdom is developing real estate projects like the futuristic mega-city Neom, with a $500 billion investment.
Saudi Arabia also aims to increase home ownership rates to 70% by 2030 through the Sakani programme. This is a joint effort between the Ministry of Housing and the Real Estate Development Fund to help Saudi citizens buy their first home.
The country is also encouraging multinational companies to set up their regional headquarters there, which increases the demand for both commercial properties and homes.
After the Jeddah tower, the Trump Organisation is working on two more projects in Riyadh, which they believe will be just as impressive, if not more. “Building in Jeddah is beautiful, but what we do in Riyadh will really impress people,” the executive vice president said.
The Trump Organisation has a history of real estate developments, including resorts, hotels, golf courses, and residential properties in several countries. In Dubai, the company partners with Damac for two golf-related projects in the Akoya area. They also work with Dar Global on a resort in Muscat that includes residential villas, a hotel, and a golf course, as well as a project with a hotel and branded residences in Dubai.
The company aims to grow in the region with these new projects, according to Mr. Trump. “The region loves our family and our projects. When we went to Dubai, we were one of the first Western brands to enter when others were skeptical. We built a great golf course that is now one of the most successful in the Middle East,” he said. “We have had a great relationship with this region for a long time and plan to keep expanding.”
The new Jeddah project will be available to both international investors and locals, said Ziad El Chaar, CEO of Dar Global. “Big things are happening in the kingdom in the next 10 years, like Expo 2030 and the World Cup 2034. There is a lot of interest from the international community in investing in Saudi Arabia. We showcased the Jeddah project to brokers in 60 global cities, and the interest is very high from both inside and outside Saudi Arabia.”
Residential property prices and rents in Saudi Arabia continue to rise. In the first half of this year, residential sales prices in Riyadh and Jeddah increased by 10% and 5% annually, respectively, according to S&P Global Ratings, citing a JLL report. Rental yields also stayed high, with a 9% year-on-year growth in Riyadh and 4% in Jeddah.
“We expect demand for residential real estate to stay high, especially in Riyadh and Jeddah, thanks to strong population growth of 3.3% on average from 2024 to 2027, partly driven by more expatriates,” S&P said.
