Arcapita Group Holdings Limited, a global company specializing in alternative investment management, announced the signing of a memorandum of understanding with King Abdullah Economic City at a special ceremony held in Bahrain, with the aim of developing world-class storage facilities, thereby contributing to the growth of the city’s industrial valley. The project also aims to improve operational capabilities at King Abdullah Economic City, in addition to driving innovation and attracting more foreign investment to the Kingdom.
Development of Areas in the Industrial Valley
The terms of the memorandum of understanding include Arcapita’s development of land parcels in the Industrial Valley, where it will leverage its extensive expertise to build high-quality facilities specifically designed to meet tenants" requirements, Arcapita will also be responsible for overseeing the development of logistics centers in the Industrial Valley to meet the company’s needs and the requirements of its future customers, thereby contributing to driving industrial and logistics growth in the region.
The memorandum of understanding was signed by Eng. Majid Metboli, CEO of Industrial Valley and the Special Economic Zone in King Abdullah Economic City, and Isa Al Khalifa, Director of Real Estate for the Middle East and North Africa at Arcapita. This strategic partnership underscores both parties" shared commitment to developing industrial infrastructure in accordance with the highest global standards and to supporting sustainable development in the Kingdom of Saudi Arabia.
The agreement is a pivotal step in the economic city’s journey
Engineer Majid Metboli, CEO of the Industrial Valley and Special Economic Zone at King Abdullah Economic City, said: "This memorandum of understanding represents a pivotal step in the economic city’s journey toward realizing its vision of developing a leading industrial and economic hub in the region. With Arcapita’s long-standing expertise in asset management at both the global and regional levels, we are fully confident that this strategic partnership will contribute to elevating the quality of services provided in the Industrial Valley, enhancing its competitiveness, and increase its appeal to global investors."
This partnership will enable King Abdullah Economic City to leverage Arcapita’s extensive global network, which includes a select group of world-class tenants, thereby helping to attract high-caliber investors, open up vast prospects for growth in the Industrial Valley, and cement its position as the leading industrial hub in the Kingdom of Saudi Arabia.
Commitment to the Highest Standards of Environmental Sustainability
The project will include the development of logistics centers that adhere to the highest standards of environmental sustainability, social responsibility, and corporate governance, with these facilities set to receive international certifications. The partnership will also provide the opportunity to participate in a growing portfolio of strategic assets that offer attractive returns while maintaining low levels of risk.
Isa Al Khalifa, Director of Real Estate for the Middle East and North Africa at Arcapita, said: “We are pleased to collaborate with King Abdullah Economic City on this ambitious project. Through this partnership, we aim to establish a state-of-the-art industrial ecosystem that meets the latest global standards and provides innovative and environmentally sustainable solutions that meet the expectations of our partners and all stakeholders.”
This partnership represents an important strategic step for King Abdullah Economic City, reaffirming its unwavering commitment to building an industrial ecosystem that meets the highest global standards. Through its collaboration with Arcapita, the economic city will be able to enhance its ability to attract foreign investors, provide advanced storage solutions that adhere to environmental, social, and corporate governance (ESG) standards, and expand the range of services it offers to tenants and companies. The impact of this collaboration extends beyond reaffirming the city’s pivotal role in driving industrialization in the Saudi economy; it also paves the way for a new era of sustainable development, innovation, and global partnerships.
