Sumou Real Estate inks deal with PIF’s unit for Al Khobar project

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Riyadh - Mubasher: Sumou Real Estate Company has signed an agreement with Saudi Downtown Company, a wholly-owned subsidiary of the Public Investment Fund (PIF), to manage the development, execution, marketing, and sale of a residential project in Al Khobar.

The project, located north of the Boulevard within the Al Khobar Downtown development, will feature mid-rise residential buildings on a land area of 28,346 square meters.

Under the 48-month agreement, Saudi Downtown will provide the land as an in-kind contribution.

Sumou Real Estate is responsible for partial investment and will finance the remaining costs through off-plan sales proceeds.

The listed company will receive a development management fee of 6.50% of total development costs and a marketing and sales fee of 2% of total sales.

Additionally, the company is entitled to a 32% share of the project’s net profits in exchange for its investment. It expects the project to have a positive financial impact on its results following the commencement of execution. No related parties were identified in the transaction.

At the end of September 2026, the net profits of Sumou Real Estate rose to SAR 110 million from SAR 108.59 million a year earlier.

Source: Mubasher Source: {{details.article.source}}