$800mn price tag for Riyadh Metro land
35 different locations have been identified for purchase Ibrahim Bin Muhammad Al Sultan, president of the Arriyadh Development Authority, says that the purchase of land for the Riyadh Metro project will cost $800 million. Speaking to Reuters, Al Sultan, who leads the Metro’s controlling state-owned organisation, said it was considering 35 different areas of the […]
- 35 different locations have been identified for purchase
Ibrahim Bin Muhammad Al Sultan, president of the Arriyadh Development Authority, says that the purchase of land for the Riyadh Metro project will cost $800 million.
Speaking to Reuters, Al Sultan, who leads the Metro’s controlling state-owned organisation, said it was considering 35 different areas of the city for purchase. He predicted the purchase would not affect the Saudi capital’s burgeoning property market.
“This is already budgeted and we are talking about 3 billion riyals ($800 million) compensation for the land to be acquired,” said Al Sultan. “The land is already chosen and the teams already started the process three months ago. We are keeping the process of acquiring all land needed for the project to a minimum, so that it will not affect the huge market of Riyadh.”
The 175km Riyadh Metro network will be one of the biggest undertaken in the region and the largest under construction in the world. It will feature six lines which will provides links throughout the city.
A series of contracts were awarded to consortia last month with the consortium headed by Bechtel Group winning a $9.4 billion contract to build lines 1 and 2. Line 3 went to Ansaldo STS in a $5.2 billion deal. Fomento de Construcciones y Contratas and a consortium involving Samsung and Alstom is tasked with lines 4, 5 and 6 in contract valued at $7.8 billion.
