Saudi-listed Retal Urban Development Company has purchased land plots in Al Muhammadiyah district, Jeddah, for 143.8 million Saudi riyals ($38.37 million) to build residential villas, the developer said in a stock exchange statement.

The land plots, covering an area of over 23,970 square metres, were sold by Al-Nahla Trading and Contracting Company, the statement issued on Sunday said.

It said that the land purchase will be financed through existing credit facilities and own resources.

Last month, Retal signed an agreement with the Saudi Railway Company (SAR) to establish a special purpose vehicle (SPV) to build a commercial mall.

(Writing by D Madhura; Editing by Anoop Menon)

(anoop.menon@lseg.com)