The weekly report from the consulting firm “Knight Frank” revealed that real estate prices in the Kingdom of Saudi Arabia are stable across all sectors, with client inquiries continuing at a steady pace, reflecting the market’s strength and its ability to maintain balance during the current period. The report noted that the market is relatively quiet as Ramadan enters its final ten days, though development activity continues according to previously established plans.

Stability in Luxury Hotel Rates
The report indicated that rates for a basket of luxury hotels in the Kingdom remained stable during the second week of March 2026, compared to the first week. Hotel rates in Jeddah remained unchanged, while rates fell slightly in Riyadh by 2%, in Mecca by 5%, and in Medina by only 3%.

Financial Market Activity
On the financial markets front, the report showed that the Saudi stock index “TASI” by 4.5% since the beginning of March, reaching 10,942 points after hitting a low of 10,475 points, reflecting partial stability in the Saudi stock markets.

Continued Development Activity
The report confirmed that development activities in the residential, commercial, and hospitality sectors are continuing according to the specified timelines, without any delays or project suspensions, reflecting the market’s ability to adapt to changes in demand and the continued implementation of real estate development plans in the Kingdom.

Average Unit Prices and Rents
The report added that average room rates at luxury hotels remained relatively stable, with real estate activity continuing in the office and residential sectors, while rents remained stable with no significant changes, reflecting continued steady demand for real estate, residential, and commercial units.

The Knight Frank report highlights the ability of the Saudi real estate market to maintain its stability and development activity, with clear resilience in the face of any seasonal fluctuations, ensuring that projects continue without any interruptions or delays.