Saudi-based First Avenue for Real Estate Development has announced that it has entered into an agreement with Al Shati Real Estate Fund to deliver a mixed-use project in Jeddah, covering an area of 15,619 sq m.  The company stated that the entire development is scheduled for completion within a three-year period.

Located in the Al Shati District of the Saudi port city, the project will feature a blend of commercial, residential, and hospitality components, First Avenue confirmed in its filing to Tadawul, the Saudi Stock Exchange. The company currently holds 14.9 per cent of the fund’s capital through its units in the Al Shati Real Estate Fund.

On the contractual side, First Avenue noted that the development fee has been set at 12 per cent of the final project costs, which will be determined once the approved designs are completed and the requisite permits issued.

The scope of work includes delivering the project in full compliance with authorised plans, which comprise preparing architectural designs, obtaining regulatory approvals, supervising construction works, and undertaking the marketing of the project.