Field of dreams
A forecast of six real estate trends in Saudi Arabia for 2011 reminds Kipp of a Kevin Costner where unknown forces urged him to build a baseball field that will attract other-worldly players.
March 28, 2011 4:38 by Precious de Leon
Thus, the market niche for private developers is primarily in mid-scale developments targeting the middle income housing bracket (SR650,000 – 800,000). Due to the unique family dynamics and larger space requirements of citizens, the target purchase price is approximately SR200 – 250 per square foot, which is best achieved through the economies of scale realised in mid- to large-scale developments.
While the residential market is supported through the stimulus package and infrastructure investment, delivering homes to citizens and achieving social objectives will require innovative acquisition structures. Although off-plan sales have started, the mortgage law remains a critical factor in expanding homeownership among citizens.