Dar Al Majed Real Estate (4326) Wins 35% of SAR 2 Billion East Hindawiyah Project in Makkah

Dar Al Majed Real Estate (4326) has secured a 35% stake in a SAR 2 billion development in central Makkah, joining a three-company consortium that won the East Hindawiyah District project from the Royal Commission for Makkah City and Holy Sites.

The consortium pairs Dar Al Majed, which trades on Tadawul as AlMajdiah, with Aljada First for Real Estate Development at 45% and Rekaz Real Estate at 20%. Dar Al Majed's 35% interest works out to roughly SAR 700 million of the headline project value, a figure that covers land acquisition and infrastructure as well as construction.

The site sits about 1.8 kilometers from the Grand Mosque and spans roughly 235,000 square meters. Plans call for a mixed-use district that combines residential, commercial, office and hospitality space. The award falls under the Makkah Informal Settlements Development Program, the Royal Commission's effort to rebuild older neighborhoods around the holy sites under Vision 2030.

How the consortium gets paid matters as much as the headline number. The project runs through a real-estate investment fund managed by Jadwa Investment. The developers earn a fee of about 10% of development cost, a brokerage fee of 2.5% on total project sales, and performance incentives tied to returns above the fund's 8% target internal rate of return. That structure spreads the economics across the build-out and the eventual sales rather than booking a single lump sum.

For Dar Al Majed, the scale is significant. The company listed on Tadawul in August 2025 at SAR 14 per share, a debut that valued it near SAR 4.2 billion and raised SAR 1.26 billion. A SAR 2 billion project, even split three ways, is large against that base.

This is the second major Hindawiya redevelopment award to reach the market in recent days. An earlier package covering the western and southern Hindawiya districts, valued at about SAR 6 billion, went to a separate consortium led by Umm Al Qura and Makkah Construction. The East Hindawiyah award is a distinct project with a different group of developers.