China Construction Integrated Building Company (CSCEC) said its key brand, Homagic, has secured a SAR2.8 billion ($746 million) contract from Saudi futuristic city NEOM to deliver 12,000 permanent worker accommodation units for the Phase II of construction workforce housing programme. 

The award marks one of the largest single modular integrated construction (MiC) contracts ever signed in the Middle East and reinforces Homagic’s growing presence in the Kingdom’s giga-project ecosystem.

Vision 2030 projects - led by NEOM, The Red Sea Global, Qiddiya, and Diriyah Gate - are projected to require a peak workforce of over 1.8 million workers by 2028, according to Knight Frank’s 2025 KSA Construction Market Report. 

Traditional site-built dormitories have repeatedly failed to keep pace, suffering from chronic delays, cost overruns, and variable quality.

Modular construction has emerged as the Kingdom’s fastest-growing solution. The Saudi modular building market is forecast to grow from $4.1 billion in 2024 to $9.8 billion by 2030 at a 15.6% CAGR (ResearchAndMarkets, 2025), driven by:

*Government mandates for 50-year durable worker accommodation under the Ministry of Municipal, Rural Affairs and Housing (MOMRAH)

*NEOM’s own requirement for net-zero carbon construction camps

*Labor welfare reforms requiring air-conditioned, en-suite rooms with Wi-Fi and recreational facilities

*Extreme urgency — NEOM’s Spine and Oxagon districts alone need 200,000+ beds delivered before 2029

Phase I of NEOM’s worker cities, completed in 2023–2024 by a mix of regional and international modular providers, demonstrated that 90% off-site fabrication can cut delivery time by 45% and reduce on-site waste by up to 80%. 

*Phase II raises the bar: all new units must achieve permanent 50-year structural certification, full LEED Gold/Estidama Pearl compliance, and zero-carbon operational status.

Backed by CSCEC, the world’s largest EPC contractor, Homagic operates eight digital factories in China with a combined annual capacity exceeding 100,000 MiC units following 2025 expansions. 

Awarding the key contract, NEOM Executive Director for Construction Eng. Mohammed Al-Shehri said Foundation work has already begun at Oxagon and The Line worker city zones. 

"Homagic’s Phase I performance exceeded our expectations on quality, speed, and worker welfare. Awarding Phase II to the same proven system ensures continuity while meeting our escalated sustainability targets," he added.-TradeArabia News Service