SUMMARY OF RISK FACTORS
D- Risks Related to the Offer Shares
4. THE COMPANY
4.8 Overview of the Company’s Principal Activities
4.8.6 Overview of Portfolio of Projects .1 Completed Projects
4.8.6.1.1 Ewan Al Qayrawan
Ewan Al Qayrawan is a residential villa complex that contains 164 housing units built on an area of 65,000 square meters distributed over five different design categories with built-up areas ranging from 386 to 552 square meters. The project is located in a strategic fully serviced and developed location close to King Abdulaziz Road, which connects the region with the center of the three main cities in the Eastern Province (Khobar, Dammam and Dhahran) and the main cities of the Kingdom.
Ewan Al Qayrawan villas were built in line with the highest international standards in order to meet the diverse needs of the eastern region of the Kingdom. Ewan Al Qayrawan facilities include a garden, car parking and chauffeur rooms.
The construction of the project was completed and delivered in 2016G.
4.8.6.1.2 Retal Square
Retal Square is a multi-storey residential complex project forming a high-end family community in which all complex operations and maintenance services are managed by a specialized company that meets the aspirations and needs of inhabitants around the clock to ensure security, safety and quality of maintenance for all facilities, The project consists of 96 housing units distributed over six buildings consisting of five modern design floors, with distinctive features in each apartment and building, characterized by great attention to detail and care. The units are distributed in three models of various designs and spaces. The ground floor consists of parking lots, a gym, chauffeur room, guards, security systems, a swimming pool, a garden and a children’s playground. The project is located in the heart of Al-Khobar City with a stunning view 2.5 km from the Al-Khobar waterfront, it consists of six adjacent buildings, six floors high, and has a built-up area of about 17,500 square meters. Its construction was completed in 2015G.
4.8.6.1.3 Al Dawahi
Al Dawahi project is located near Aramco, in the Samhaniya Oasis neighborhood in the Eastern Province. It is characterized by unique urban planning resembling a small village where neighbors converge to each other without compromising privacy. The project includes 133 housing units designed according to Arab, Andalusian and modern geometric patterns. It includes three categories, with built-up areas ranging between 250 and 614 square meters. Al Dawahi complex was completed in 2016G.
4.8.6.1.4 Sakanat Al Nada
The Sakanat Al Nada project is located in Al Nada neighborhood, near Jubail Road and in close proximity to Saudi Aramco. Sakanat Al Nada is a project which comprises 28 villas, over a surface area of 14,000 square meters, with built- up areas ranging between 371 and 386 square meters. The project is characterized by a high-end design derived from Arab heritage. The project started in 2013G and was completed in 2014G.
4.8.6.1.5 Sakanat Al Safa
The Sakanat Al Safa project is located in Al Safa neighborhood near Imam Abdulrahman Bin Faisal University between Dammam, Dhahran and Al-Khobar. The project consists of 56 housing units distributed in 3 categories and includes 8 small villas in addition to 48 duplex apartments over an estimated surface area of 16,000 square meters with built-up areas ranging from 227 to 336 square meters with a design derived from Arab heritage that highlights the housing units and imbues them with harmonious beauty that evokes calm, tranquility and exclusivity.
The project started in 2014G and was completely finished in 2015G.
4.8.6.1.6 Ewan Al Nawras
Ewan Al Nawras is a luxuriously finished residential project characterized by a distinctive location in the coastal city of Al-Khobar. It is distinguished by its proximity to public and vital services, close to main shopping centers and the King Fahd Causeway that connects the Kingdom of Saudi Arabia to the Kingdom of Bahrain.
The project comprises 78 deluxe residential villas consisting of four distinct design categories, with built-up areas ranging from 425 to 529 square meters, the diversity of its design provides the utmost in luxury and modern living. For each housing unit, the project also provides chauffeur rooms, swimming pools, gardens, and parking. Ewan Al Nawras was completed in 2015G over an area of 37,000 square meters.
4.8.6.1.7 Block 144
Block 144 is a residential development consisting of 15 units of three distinct types located in Dammam. Construction of Block 144 completed in 2016G. Block 144 comprises a total project area of 11,700 square meters.
4.8.6.1.8 Arab Open University
The Arab Open University project is located in Dammam over a surface area of 6,500 square meters and consisting of seven floors divided into two separate sections. The building also includes all required educational facilities supported by the best technologies. Construction of Arab Open University was completed in 2017G.
4.8.6.1.9 The Grand
The Grand is a closed compound, integrated residential complex which comprises 126 residential units of eight distinct categories, characterized by a beautiful towering facade, surrounded by services and vital centers in various directions, with built-up areas ranging between 95 and 315 square meters.
The project is distinguished by its important strategic location in the city of Dammam, overlooking the highway, halfway between the airport and the Corniche, which facilitates life in and access to the project. The Grand was completed in 2017G. The project is distinguished by its modern design and modern exterior facades.
Unit designs and sizes vary, and all of them are equipped with a central air-conditioning system, with distinct recreational and service facilities. Within each tower, there is a hall, a health club, a swimming pool, and private parking for each apartment. The project is managed by a facility management company, ensuring a comfortable and safe atmosphere.
4.8.6.1.10 The Valley
The Valley was the first modern commercial project undertaken by the Company. The Valley comprises a project area of 7,430 square meters including a leasable area of 6,030 square meters and is designed to be a major destination for entertainment and shopping. It includes gyms, brand retail shops and a range of international cafés and restaurants with terrace seating. The valley hosts a plethora of renowned brands and amenities available within the complex include a pray place, parking, security, an ATM and outdoor seating. Construction of the Valley was completed in 2017G.
4.8.6.1.11 Retal Residence
Retal Residence is a mixed-use project that combines the residential component and hospitality, as it includes a modern residential complex for rent completed by the company in 2018G with a built-up area of more than 72,000 square meters. The project is located in Al-Sadafa neighborhood near the city of Al-Khobar, steps away from the Arabian Gulf near Dhahran Exhibition Road, and provides its residents with easy access to international schools, hospitals and shopping centers.
The complex includes 416 modern and luxurious fully furnished residences with appliances, and includes standalone villas, houses and apartments surrounded by landscaped gardens, walking paths, and the latest means of health, entertainment and comfort. Also, periodic maintenance is carried out with great care to ensure the comfort, security and interest of the residents.
Retal Residence includes many facilities that make living there an integrated experience, including: high-end restaurants, swimming pools, outdoor and covered playgrounds, in addition to an indoor cinema and hotel rooms to receive guests.
4.8.6.1.12 Ewan Al Maali
Ewan Al Maali is a residential development strategically situated in Al-Khobar City. Construction of Ewan Al Maali was completed in 2018G. The development comprises 76 residential units of three distinct categories ranging from 578 to 795 square meters.
Amenities available within the Ewan Al Maali residential development include parking, gym, chauffeur rooms, security, swimming pools, gardens and a children’s playground.
4.8.6.1.13 Ewan Al Nahda
Ewan Al Nahda project is residential project located in Al Qayrawan neighborhood in Dammam, at the center of major cities such as Al-Khobar, Dammam and Dhahran. The location of the project is easy to reach from all cities and offers easy access to the surrounding public and recreational services. It consists of 37 housing units. The project is designed to provide customers with the freedom to choose between several designs of various layouts and spaces. The project facilities include a garden, car parking and chauffeur rooms. The built-up area is 17,520 square meters and its construction was completed in 2019G.
4.8.6.1.14 Nesaj Town 1
Nesaj Town 1 is a residential project located in Dammam, developed in partnership with the MoMRAH. The project consists of 674 housing units spread over an area of 202,000 square meters overlooking the spacious streets and with integrated services aimed at ensuring the comfort of owners, providing them with various services such as mosques, schools, commercial and social complexes, in addition to vibrant parks and gardens. The housing units are divided into 4 different categories with different surface areas and modern designs that meet the aspirations of customers.
The project was completed in 2020G.
4.8.6.1.15 Retal Business Center
Retal Business Center is a mixed-use project that includes commercial and office units, located in Al Rawabi district of Al-Khobar. Its construction was completed in 2020G.
The project consists of seven floors spread over a total surface area of 5392 square meters. It includes many facilities and amenities such as private parking, meeting rooms, prayer hall and cafeteria. Retal Group has taken this Center as its head office to manage the Group’s operations, with part of the building leased to commercial tenants.
4.8.6.2 Ongoing Projects 4.8.6.2.1 Ayala Al-Nakheel
Ayala Al-Nakheel is a residential project that is unique in its location and components, embracing the finest modern and exclusive villas for those looking for excellence, luxury, spacious spaces, and personal designs that represent their own style, through digital pre-customization, which allows customers to choose and add the details to their liking and make modifications to designs and spaces prior to purchase.
The project is located in the city of Al-Khobar, with a total surface area of about 57,000 square meters. It enjoys a unique location amid luxuriant surroundings and adjacent residential neighborhoods. The project is expected to be completed by 2022G.
As of 30 September 2021G, a revenue of SAR 11.4 million was recognized from the sale of Ayala Al-Nakheel units, and the project completion rate was about 6%.
4.8.6.2.2 Nesaj Town Al-Khobar
Nesaj Town Al-Khobar is a residential project located in the city of Al-Khobar. The Company began development in 2020G in cooperation with the MoMRAH, with works expected to be completed by 2022G.
Total project surface area is 56,687 square meters. The construction plan includes 170 residential units, with an average total surface area of 330 square meters per unit.
During July 2021G, all project units were booked within one hour from offering. As on 30 September 2021G, sale revenues of SAR 26.9 were recognized, and the project completion rate was about 20.6%.
4.8.6.2.3 Coya
Coya is a residential project located in Dammam. The Company is expected to start construction in 2022G, and is expected to complete it by 2024G. The residential project’s total surface area is 8,718 square meters, with the construction plan consisting of 104 residential units.
As of 30 June 2021G, no Coya units were sold.
4.8.6.2.4 Nesaj Town 2
Nesaj Town 2 is a residential project in Dammam, developed in partnership with the MoMRAH, and includes high-end residential units at an affordable cost that suits the aspirations of a wide segment of citizens. The residential project area is 505,982 square meters, including 1,653 residential units.
It was designed with specifications and a unique architectural style that draws inspiration from its modern designs, in addition to the integration of services that ensure desired comfort and luxury with amenities such as mosques, schools, and commercial and social complexes, making it one of the most attractive development projects in the Eastern Province. In addition to being an integrated family community that provides all the distinguished facilities through which the Company has been keen to create a lifestyle and villa spaces that suit the needs of all families. The project is expected to be completed by 2022G.
As of 30 September 2021G, the project completion rate was about 75%, with recognized accumulated revenues of SAR 771.7 million.
4.8.6.2.5 Nesaj Town Riyadh 1
Nesaj Town Riyadh 1 is a residential project of 233,968 square meters located in the city of Riyadh as an extension of the series of successes of Nesaj Town 1 and 2 Dammam projects. The construction plan consists of 690 residential units, with an average total area of 339 square meters per unit. The facilities of Nesaj Town 2 in Riyadh include commercial, recreational and educational facilities. The Company began construction in 2021G and expects to complete construction by 2022G.
The project was presented to customers for reservations in October 2020G, and within 96 hours, all project units were booked. As of 30 September 2021G, Nesaj Town Riyadh 1 recognized sale revenues amounted to SAR 58.4 million and the project completion rate was about 12%.
4.8.6.2.6 Marasi Al-Khobar
Marasi Al-Khobar is a residential project in the Hayat neighborhood, which is strategically located between the cities of Dammam and Al-Khobar. The Company is expected to commence development in 2022G, and is expected to complete the project by 2023G. The project encompasses about 609,000 square meters. The construction plan consists of 200 residential units.
Retal’s plays the role of major developer in the Marasi Al-Khobar project, which is the first of its kind in the region in terms of the possibility of purchasing plots of land using the off-plan sales model. Purchase reservations will commence upon the launch of the project with payment grace periods of up to 24 months, which allows purchasing at competitive prices, and the ability to view units characterized by views of the greenery, footpaths or the outdoor.
It should be noted that that Marasi Al-Khobar is part of the investment and strategic 7.5 billion Saudi Riyal partnership between Retal Urban Development Company and Alfa Financial Company to develop future projects until 2030G, most of which residential real estate projects.
As on 30 September 2021G, no revenue was recognized from the sale of Marasi Al-Khobar units.
4.8.6.2.7 Tharwa Town
Tharwa Town is a residential project located in the Tharwa Town Plan of Dammam. The plan was initiated and the infrastructure provided therefor by the Saudi Tharwa Company - an investment of Retal Urban Development Company - and accordingly, the Saudi Tharwa Company won the best mixed-use Arabian Property Award for 2021G.
The company is expected to start developing the project during 2022G, and is expected to be completed by 2024G.
The total project area is about 150,000 square meters. The construction plan consists of 401 residential units.
4.8.6.3 Upcoming Projects
4.8.6.3.1 Retal Business Center - Riyadh
Retal Business Center is a commercial office space project in Riyadh. The Company will begin developing the project during H2 2022G and it is expected to be completed by 2023G. The project encompasses a total surface area of 40,000 square meters, comprising 69 office units.
As of 30 September 2021G, none of the offices of Retal Business Center were rented.
4.8.6.3.2 Retal Rise
Retal Rise is a mixed-use project in the city of Al-Khobar and is expected to include a luxury residential tower with direct views of the Arabian Gulf, comprising about 286 units, in addition to a hotel with a capacity of 150 rooms, hotel apartments and a specialized restaurant, expected to be managed by Nobu Hotel and Restaurant Management Company.
The project encompasses a surface area of more than 13,000 square meters. The Company began developing the project in 2021G, and it is expected to be completed by 2024G. As of 30 September 2021, project units were not yet offered for sale.
4.8.6.3.3 Retal Blue
Retal Blue is a tourist lodging and residential hotel development in Al-Khobar, comprising hotel rooms, apartments and chalets for sale, as well as hotel and entertainment services, landscapes, gym, yacht marina...etc. The Company will begin developing the project in 2022G, and it is expected to be completed by 2025G. The project encompasses a surface area of 500,000 square meters.
As of 30 September 2021G, none of the room and apartment units were sold or rented.
4.8.6.3.4 Ayala Al-Malqa
Ayala Al-Malqa is a residential development, situated in Riyadh, which the Company began constructing in 2021G and is expected to be fully completed by 2024G. The residential project has a total development area of 41,540 square meters, and the development plan comprises of 71 residential units.
As of 30 September 2021G, no Ayala Al-Malqa units were sold.
4.8.6.3.5 Nesaj Town Al-Ahsa
Nesaj Town Al-Ahsa is a residential project in Al-Ahsa. The Company is expected to begin developing the project in 2022G and it is expected to be completed by 2024G. The project encompasses a surface area of 350,000 square meters, and comprises 969 residential units.
As of 30 September 2021G, none of Nesaj Town Al-Ahsa units were sold.
4.8.6.3.6 Ewan Sidra
Ewan Sidra is the first residential project to be developed with ROSHN (a PIF company). The Company was awarded as the first developer to cooperate with ROSHN in developing the first phase of the project in Riyadh. It will begin developing the project during Q1 2022G, and it is expected to be completed by 2024G. The project encompasses a surface area of 33,475 square meters, and it comprises 103 residential units.
As of 30 September 2021G, none of Ewan Sidra units were sold.
4.8.6.3.7 Nesaj Town - AlNarjes
Nesaj Town - AlNarjes is a residential project in Riyadh to be developed in partnership with the NHC as a sub-developer of the project. The Company is expected to begin developing the project in Q2 2022G, and it is expected to be completed by the end of 2024G. The project encompasses a surface area of 147,875 square meters, and it comprises 455 residential units.
As of 30 September 2021G, none of Nesaj Town - AlNarjes units were sold.
4.8.6.3.8 The Place
The Place is a commercial project located in Al-Ahsa. The Company will begin its development in 2022G and it is expected to be completed by 2023G. The project encompasses a surface area of 41,540 square meters.
As of 30 September 2021G, none of The Place units were rented.
4.8.6.3.9 Nesaj Town – Safwa
Nesaj Town Safwa is a residential project located in Al-Qatif, to be developed in partnership with the NHC. The Company is expected to begin developing the project in H2 2022G, and the project is expected to be completed by the end of 2025G. The project encompasses a surface area of 136,234 square meters, and comprises 371 residential units.