Commercial sector leads Saudi real estate growth over two months

The total number of transactions in the residential sector fell to 32,117 in the first two months

  
A general view of the cityscape, as the summer season kicks off with health precautions amid the coronavirus disease (COVID-19) outbreak, in an effort to boost internal tourism after the pandemic in Abha, Saudi Arabia July 18, 2020.

A general view of the cityscape, as the summer season kicks off with health precautions amid the coronavirus disease (COVID-19) outbreak, in an effort to boost internal tourism after the pandemic in Abha, Saudi Arabia July 18, 2020.

REUTERS/Ahmed Yosri
 
 

The commercial property sector's value of transactions registered with the Ministry of Justice, rose sharply to SR9.6 billion in the first two months of 1443, ending Oct. 6 2021, from SR5.7 billion and SR5.8 billion in the first two months of the previous Hijri year 1442, a period ending 16 Oct. 2020.

The value of residential real estate transactions in the first two months of 1443 totalled SR17.9 billion ($4.7 billion), up 8 percent from SR17.7 billion, in the same period of 1442 and 1441, respectively.

However, compared to the first two months of 1441, a pre-pandemic period ending 28 Oct. 2019, it experienced a decline of 31 percent from SR25.8 billion.

The total number of transactions in the residential sector fell to 32,117 in the first two months of 1443 from 43,301 and 57,130 transactions recorded over the same period of 1442 and 1441, respectively.

As a result, in the two-month period of 1443 the average property value increased to SR556,696, or by 36 percent and 23 percent compared to the same period of 1442 and 1441, respectively.

Average area per property stood at 779 sqm, little changed from 739 sqm in the same period of 1442 but noticeably up from 728 sqm in the same period of 1441.

The average value per property surged to SR1.8 million from SR1.1 million each in the same period of 1442 and 1441 as the average area of a property grew 85 percent and almost 400 percent from the same period of 1442 and 1441 while the number of properties involved in the commercial segment even decreased to 5,226 from 5,691 and 6,140 in the same two months of 1442 and 1441, respectively.

Copyright: Arab News © 2021 All rights reserved. Provided by SyndiGate Media Inc. (Syndigate.info).

Disclaimer: The content of this article is syndicated or provided to this website from an external third party provider. We are not responsible for, and do not control, such external websites, entities, applications or media publishers. The body of the text is provided on an “as is” and “as available” basis and has not been edited in any way. Neither we nor our affiliates guarantee the accuracy of or endorse the views or opinions expressed in this article. Read our full disclaimer policy here.

More From GCC