Riyadh Tops Saudi Arabia’s Residential Market Boom

(Bloomberg) -- Saudi Arabia’s residential market continued on a path of sustained growth in the second quarter, with apartment s in the capital Riyadh accelerating at the fastest pace in at least 2017, according to Knight Frank.

The government’s various initiatives are contributing to an “acceleration in home ownership rates across the kingdom,” Faisal Durrani, head of Middle East research at Knight Frank, wrote in a note. Apartment s in Riyadh grew 7.6% year on year in the second quarter, according to the report.

More from Knight Frank:

• Number of residential transactions in Riyadh are up 77% and in Jeddah up 44%
• Office market, with the exception of Riyadh, rental rates continue to ebb as demand remains muted
• Knight Frank expects total office stock in Riyadh and Jeddah to reach 5.3m sqm and 1.8m sqm, respectively, by the end of 2023
• Headline lease rates in prime shopping malls across the country fell between 1% and 5% over the last 18 months

Read more: Tax Hikes and Covid Can’t Stop Trapped Saudis From Spending

©2021 Bloomberg L.P.