The Saudi real estate company „Al Aqariyah“ signed a contract yesterday (Wednesday) to lease the Al Reef residential complex located in the Diplomatic Quarter of Riyadh. The total contract value is over 1.19 billion riyals (excluding VAT), for a period of 20 calendar years.
It includes 240 residential units and a commercial gallery in the Diplomatic Quarter
The company clarified in a statement that the complex includes 240 residential units, distributed between 176 apartments and 64 villas and townhouses, in addition to a commercial gallery, noting that the project is in its final stages of construction.
It explained that the contract is based on a „Triple Net“ system, whereby the tenant bears the costs of operation, maintenance, and utility management, with a grace period of 9 months starting from the date of handover of the complex.
It indicated that the parties to the deal are „Al Aqariyah“ as the lessor and the company „Amsa View“ for hotel apartments as the lessee, noting that there are no related parties in the deal.
The company expects the financial impact of the contract to begin in the financial statements starting from the fourth quarter of 2026, through the realization of rental cash flows. It confirmed that the asset leasing activity represents the main part of its business, and the deal will support its operations and profits.
Al Reef residential complex
Al Reef is a large, modern residential community located in Abu Dhabi, United Arab Emirates. Developed by Aldar Properties, it was constructed in the 2000s as part of the UAE’s rapid expansion to provide high-quality suburban housing, primarily for expatriate families and middle-income residents. The complex is known for its villa and apartment clusters, community amenities, and its role in shaping the suburban landscape of the capital.
Diplomatic Quarter
The Diplomatic Quarter (DQ) is a secure, modern district in Riyadh, Saudi Arabia, established in the 1970s to house foreign embassies, international organizations, and diplomatic residences. It was developed as part of the city’s rapid expansion and modernization, providing a centralized and purpose-built area for the diplomatic community. Today, it is known for its landscaped parks, cultural centers like the King Faisal Center for Research and Islamic Studies, and its role as a hub for international affairs within the capital.
Riyadh
Riyadh is the capital and largest city of Saudi Arabia, serving as the political and administrative center of the nation. Historically a walled oasis town and a key settlement in the Najd region, it was captured in 1902 by Abdulaziz Al Saud, an event that marked the beginning of the unification of the modern Kingdom of Saudi Arabia. Today, it is a rapidly modernizing metropolis, known for its striking contemporary architecture alongside historic sites like the Masmak Fortress.
