MENA

Changing the Landscape

The MENA market is an extraordinary one that continues to innovate, push the boundaries and is a major player in the world of retail real estate. Before our opinion piece about the MENA region by David Macadam, RLI spends the next few pages highlighting a selection of the world-class projects from across the Middle East and North Africa.

Projects Across the Middle East
With one million safe hours logged, construction continues on the second phase of The Avenues – Bahrain. The project, which began in September 2022 by developer Mabanee, is expected to be completed by the second quarter of 2024. Once built, the extension will add an additional 41,000sq m of leasable space, which will include 244 units, two entertainment areas, an ice rink, a supermarket, as well as basement parking, bringing the total leasable area of The Avenues – Bahrain to approximately 80,000sq m. The successful completion of the project will cement it as the largest development in Bahrain Bay. It will also reinforce the mall as a leading destination that aims to provide a different experience beyond shopping for citizens, tourists and businessmen alike from the Gulf region and beyond.

Scheduled to open this quarter, The Warehouse Kuwait by developer Tamdeen Group is the country’s first premium mainstream destination. Blending the possibilities of contemporary architecture with a traditional streetscape feel, the 106,640sq m project will include over 170 retail stores, vehicle showrooms, seven movie theatres and over 2,300 parking spaces. Centrally located in one of Kuwait’s most dynamic areas, the shopping centre serves as one of the prime destinations in the Al-Ahmadi Governarate, easily accessible from the King Fahd Bin Abdul Aziz Highway and the Fahaheel expressway. Strategically located in South Subahiya, visitors all across Kuwait can enjoy seamless and convenient access to the shopping destination. In terms of household retailers, the shopping centre will be anchored by the multinational furniture conglomerate IKEA who will be opening its doors to its largest store in Kuwait, as well as the Kuwait-based Middle East furniture chain ABYAT.

Saudi Arabia’s Porta Jeddah has been unveiled by UK-based architect, Chapman Taylor. The 120,000sq m GBA Porta Jeddah, on behalf of developer Al Akaria, will become “an iconic landmark in the city”. The development will comprise of many offerings for visitors such as a wide variety of retail, F&B and leisure options, a 230-key lifestyle hotel and workplace amenities and is inspired by Saudi Arabia’s rich cultural heritage, the design of the development features elements of Jeddah, such as the Makkah gate, the old port, Al Balad and the Palace Gardens. Porta Jeddah will feature a central plaza “with a concept based on a journey through a sequence of themed plazas that are infused by the characteristics of Jeddah”. The garden plaza will offer visitors many dining options within a beautiful landscape setting, while the water plaza will comprise of retail experiences including dancing fountains and interactive sculptures. In addition the entertainment plaza will host a range of leisure activities centred on an amphitheatre for social engagement and events. An opening date has not yet been revealed but construction is due to start at the beginning of next year.

Solitaire by developers Al-Marqab Investment Company is set to be Riyadh’s newest multi-use lifestyle destination and will consist of three aboveground levels of retail, food and beverage, entertainment, wellness and sport offerings and three levels of basement parking. Within the city of Riyadh, Solitaire will occupy a 60,000sq m area bordered by King Abdulaziz Rd, Al Imam Saud Ibn Faisal Road and Al Thumamah Road. With views to the south revealing the prestigious King Abdullah Financial District, affirming this prime location within the city. The North Ring Road is just 2km away, making the asset easily accessible from Riyadh’s outer suburbs. As a multi-use lifestyle destination with design work by Benoy, Solitaire’s focus is on providing a unique, 360° lifestyle offering encompassing the key areas of retail, dining, entertainment, wellness and sport. An opening date has not yet been announced.

Saudi Arabia’s Abdullah Al-Othaim Investment Company has announced a $1.9bn entertainment development in Riyadh. The Konoz Box of Treasures, project is named after a diverse array of gemstones embodied in the project’s architecture. Konoz Box of Treasures includes 50,000sq m of state-of-the-art commercial office spaces and a 20,000sq m entertainment city aimed at supporting Riyadh’s developing tourism and entertainment industry. In addition to its commercial spaces, the Konoz project features 15,000sq m of green areas, parking for 5,500 vehicles, a 120,000sq m commercial centre, a luxury hotel with 250 rooms, 120 serviced residential apartments and an additional 135,000sq m residential apartment complex which includes 700 apartments. Designed by Benoy, the project embodies the ongoing growth and development taking place in Riyadh and Saudi Arabia, driven by the country’s Vision 2030, which aims to transform the nation into a sustainable and diverse economy.

Being developed by Azad Properties and on course to fully open this year after the initial launch ceremony took place earlier this year, the Souq7 development in Jeddah, Saudi Arabia celebrates legacy and culture in an entirely reimagined souq setup. It reflects modernity and innovation in line with Vision 2030, while also embracing the Middle East’s originality, stimulating the senses and inciting a sense of discovery. Following the “one-stop-shop” motto where shoppers can find anything and everything they want under one roof, Souq7 will be divided into seven main zones coming together in a beautiful mosaic that forms an all-encompassing lifestyle and retail space. The zones are food stuff zone, the family entertainment zone, an electronics zone, furniture & home supplies zone, building material zone, automotive zone and a multi-use zone. Spreading over 728,000sq m of space, Souq7 will feature 4,000 shops, around 7,000 parking spaces, 108 buildings and five mosques.

1364 will be a world-class shopping, dining and entertainment centre that offers Saudi society a place to express and fulfil their modern desires. The 1364 shopping centre will be a location as unique as the Diplomatic Quarter itself, with extensive greenery and water features to ensure that the project is an extension and continuation of the Diplomatic Quarter, with well blended contemporary architectural practices and a modern, attractive merchandise mix to attract young professionals and families from all over Riyadh. Set to bustle with energy and activity, day and night; there will always be something new for guests to discover at the 1364 site, from live music, casual bites, play areas and an extensive cultural scene, 1364 springs to life, offering ever-changing activities for families and trendy meeting places that create the ultimate social scene. The scheme is scheduled to open in the last quarter of this year by developer Unified Real Estate Development Co.

Jawharat Jeddah mall will be one of the modern centres in the city of Jeddah, which aims to establish a diversified centre as a new and integrated destination for entertainment and shopping with the latest international brands. Distinguished by its strategic location, its proximity to the important areas of the city and with a proposed land area of 170,746sq m, a GLA of 87,145sq m, an entertainment area of 17,475sq m and more than 200 stores, this exciting new mall is due to open in the first quarter of 2024 by Cenomi Centers.

Celebrating 28 years of remarkable success, Al Rashid Mall Al Khobar in the Eastern Province of Saudi Arabia, inaugurated in 1995, is undergoing a massive renovation, the second in its history. The project aims to deliver multiple objectives, including growth through expansion, upgrading operating services & amenities and create a more contemporary, inviting space for customers. It will benefit from modernisation in architecture and design, with a full interior and exterior facelift, thereby invigorating this already successful iconic shopping and leisure destination. Al Danah Real Estate Company will invest USD 187M in the refurbishment project of Al Rashid Mall Al Khobar. Initiated in February 2023, the project is forecast to be completed by the end of the first half of 2024. The mall will continue to trade during this period of renovation, with minimum disturbance to its more than 12 million annual visitors.

Still under construction by Jeddah Economic Company and lined strategically along the coastline of the Red Sea, Jeddah Economic City is design to embody a new point of view in what a mega city is all about. The City in mind is planned to breathe life into the Northern area of Jeddah, attracting investors, tourists, as well as business opportunities that will break global records, becoming the first of its kind in city life. Planned to occupy a spectacular area of 5.3 million square meters of land, the Jeddah Economic City is envisioned to reflect a new era in urban development and living, providing the inhabiting community with all that is needed in amenities, facilities, residential quarters, business areas in shops and commercial centres, in addition to diplomatic quarters. The Super Regional mall, to be called Jeddah City Mall and due to open in 2024 and be 490,000sq m in size, will be carefully designed within the City grid, laced with the convenience of restaurants, cafes, public parks, in addition to the routes connecting them, resulting in the perfect shopping experience to all commuters, tourists, visitors and business people alike.

The Avenues – Riyadh by developer Mabanee is expected to open by 2025 and it is located at the heart of Saudi Arabia in the North of Riyadh City. The Avenues – Riyadh is expected to become one of the largest commercial malls in the Middle East with a gross leasable area of 400,000sq m and will include five- and four-star hotels, residential apartments, medical facilities, offices and a parking lot for 15,000 vehicles, making it an ideal destination for shopping, entertainment and accommodation in the Kingdom of Saudi Arabia. Additionally, it will contribute to strengthening the service and retail sectors and creating more than 20,000 job opportunities for Saudi nationals.

The Point represents a strategic partnership between the Red Sea Markets Company Ltd., Asir Investment Forum and the Tourism Development Fund. The Red Sea Markets Company, a member of the SEDCO Holding Group, owns one of the most important shopping and entertainment projects in the Kingdom, Red Sea Mall in Jeddah and it is working to replicate this success in Abha and position The Point is the Asir region’s leading tourist destination for shopping, entertainment and recreation. The project is expected to contribute in generating 2,500 job opportunities in the region, with investment opportunities for small scale businesses. It will incorporate various activities in an urban architectural landscape complementing the identity of the Asir region, in line with its economic and tourism requirements. Upon completion at the end of 2026 it will comprise of constructed areas of 150,000sq m, green areas totalling 50,000sq m, a 1,000sq m youth centre, a 6,000sq m hypermarket, two fountains and water attractions, a 3,000sq m health centre, 10 cinemas, 150 retail stores, 41 restaurants and cafes, 1,500 car parking spaces, a Hilton Residence of 100 hotel apartments & a Canopy by Hilton Hotel with 150 guest rooms.

Another project that has been recently announced is Soudah Peaks, a $7.7bn plan to develop a luxury mountain resort in the Kingdom. When completed, it will feature 2,700 hospitality keys, 1,336 residential units and 80,000sq m of commercial space. Prince Mohammed bin Salman bin Abdulaziz Al Saud, Crown Prince, Prime Minister and Chairman of Soudah Development, the developer behind the scheme has launched the masterplan to develop Soudah and parts of Rijal Almaa into Soudah Peaks. Situated within an extraordinary natural and cultural environment in the Aseer region (southwest Saudi Arabia), the project is a key part of the Public Investment Fund (PIF)’s efforts to diversify the economy by expanding vital industries such as tourism, hospitality, entertainment and supporting Aseer development strategy.

Launched on 16 February this year by developers The National Real Estate Company (NREC) and United Project for Aviation Services Company (UPAC), Reem Mall is Abu Dhabi’s signature retail, leisure, dining and entertainment destination and is home to one of the biggest indoor snow parks in the world. Located in the near heart of Abu Dhabi, this mega-mall has become the premiere hub with something for everyone. A $1.2bn state-of-the-art project situated on Reem Island, Reem Mall covers nearly 2.8 million square feet of useable area and houses around 400 of the finest international and local brands. It features around 85 restaurants and cafes and a range of family-focused entertainment offerings including Vox Cinemas, Carrefour Hypermarket and the iconic Snow Abu Dhabi. The world’s first mall with a state-of the-art, on-premises logistics hub, enables store-to-door fulfilment with a 24-hour delivery anywhere in the UAE and 72-hour delivery across the GCC.

SeaWorld Abu Dhabi launched in May and is now available for guests to explore the region’s first Marine Life Theme Park and discover eight immersive realms with over 15 interactive experiences and rides, over 100 animal experiences and presentations including up-close animal encounters, more than 20 live characters and performances, 17 dining options, 13 retail outlets and roaming entertainment across each realm. The 183,000sq m venue, is home to over 150 marine species and will be led by marine scientists, veterinarians, animal care professionals, rescue experts and educators. Developed in a joint collaboration between Miral and SeaWorld Parks & Entertainment, SeaWorld Abu Dhabi is the latest addition to Yas Island’s award-winning portfolio of theme parks and attractions, including Warner Bros. World™ Abu Dhabi, Ferrari World Abu Dhabi, Yas Waterworld and CLYMB™ Abu Dhabi. One of the world’s fastest growing leisure destinations, Yas Island features some of Abu Dhabi’s most iconic entertainment hubs and landmarks.

Dubai’s City Walk, developed by Meraas Holding and owned and managed by Merex Investment, is a design-inspired lifestyle destination has announced a massive expansion plan, which will see the opening of 65 new stores expected to open by the end of the year. This expansion will bring City Walk’s occupancy rate to 98 per cent, solidifying its reputation as a vibrant mixed-use hub with over 250 stores. Notably, 70 per cent of the new stores will be situated along City Walk Boulevard. Merex Investment has undertaken a strategic leasing operation over the past two years to adapt City Walk to the evolving tastes of its audience. The destination currently boasts dedicated zones for automotive, an enhanced food and beverage offering, health and wellness facilities and office spaces, complementing its growing residential and hospitality offerings. City Walk’s licensed district, which already features popular establishments like Nola, L’Antica Pizzeria da Michele, Baku and Mythos, is set to welcome new additions in Q4 under the newly branded district C2.

DAMAC Group, the leading UAE-based business conglomerate, has announced the opening of DAMAC Mall, adding a new retail and leisure destination to Dubai’s luxury landscape. The mall was officially opened on 1 September 2023. DAMAC Mall presents an expansive 110,000sq ft space that seamlessly integrates retail, hospitality, leisure and entertainment offerings. The mall was envisioned as a hub for unique shopping experiences. The mall, located within DAMAC Hills features major international and local brands across various categories, including 30 retail stores and 10 F&B outlets. The inaugural ribbon-cutting ceremony was followed by the opening of a sprawling 28,000sq ft Spinneys supermarket in addition to the grand opening of Starbucks, Papa John’s, Vietnamese Foodies, American Wax, Al Jaber Opticals, Al Ain Pharmacy and Lingo Play Area for children. A 9,000sq ft Fitness First gym and a dedicated 8,000sq ft MEDCARE medical facility are believed to open soon.

Expo City Mall by developer Emaar is on course to open its doors in 2024 in Dubai, UAE. The upcoming 385,000sq mall is set to be situated in Dubai’s Emaar South project and feature a large-scale offering of over 190 shops and F&B outlets. Nestled within the progressive Dubai Expo City, this upcoming mall will offer an unparalleled experience. With a focus on providing an immersive shopping experience, the mall will be home to an extensive collection of fashion, electronics, home furnishings and speciality stores. With its impressive array of offerings and a commitment to providing exceptional experiences, Expo City Mall will be a must-visit destination for shopaholics, foodies and those looking for entertainment venues.

Projects Across North Africa
Maspero Mall is an upcoming unique destination for retail and lifestyle experiences in the heart of Cairo by developers City Edge Developments. Situated in Maspero Triangle, Maspero Mall is an icon of downtown Cairo offering unforgettable shopping experiences, delicious cuisines and a variety of distractions that will leave you entertained. Drawing on a heritage that stretches back thousands of years, Maspero Mall seeks to mark a new era of modern experiences to delight future generations ahead. Maspero Mall is designed to offer extraordinary experiences in the heart of Cairo. Its wide range of retail and lifestyle attractions spread out across 28 commercial units spanning 75sq m to 1,057sq m. Welcoming thousands of visitors from this year, the commercial area provides plenty of parking spaces, helping guests move around easily, leaving no room for traffic jams. As a thriving commercial destination, Maspero Mall will ensure memorable experiences for everyone through state-of-the-art services and facilities.

Spanning over 45,000sq m by developer Al-Futtaim Real Estate Group, Festival Avenue will soon take Cairo Festival City Mall’s celebratory experience to the next level of luxury and fashion. Set to be Cairo’s ultimate fashion forward destination welcoming international renowned brands, this top-of the-line extension will open its doors in 2023 introducing a series of 80 first-to-the-market luxury men’s and women’s fashion brands together with jewellery and watch brands that will call Festival Avenue their first address in Egypt. Festival Avenue will also offer an entertainment destination for all ages and an assortment of restaurants with indoor and alfresco outdoor seating.

Sonae Sierra has consolidated its presence in Morocco with the management of the new shopping centre Aeria Mall, which promises to be a landmark in the new heart of Casablanca (Casa Anfa) in Morocco after opening its doors on 1 March. With 25,000sq m of Gross Leasable Area (GLA), Aeria Mall is part of the Casa Anfa mixed-use project, which also includes offices and a residential component, which will create more than 3,000 jobs in the region. Aeria Mall is a proximity shopping centre, distinguished by 93 stores, including a Marjane supermarket and national and international brand stores in the world of ready-to-wear, fashion accessories, beauty, furniture and much more. Aeria Mall also offers a unique Food Hall, with restaurants and different areas, as well as a cinema and a gym. The shopping centre represents a balanced space between retail and leisure.

Set to open in 2025, Al-Futtaim Malls looks ahead to Zenata Mall opening in Morocco with 120,000sq m of gross leasable area. The mall is set to be anchored by a 26,000sq m IKEA and is also poised to become the largest mall in North Africa. Over the past year, the teams at Al Futtaim, Marjane Holding, Sonae Sierra and Société d’Aménagement Zenata (SAZ) have collaborated to develop an innovative retail, marketing and branding strategy ready to position Zenata Mall as Morocco’s most attractive shopping, family, leisure destination with a differentiated Food Hall. Zenata Mall, located within the innovative, ecologically healthy Zenata Eco-City, will blend the contemporary and traditional zones with an 8,350sq m hypermarket, 10,000sq m leisure and entertainment zone, 5,500sq m multiplex Cinema, a first to Morocco Food Hall and a comprehensive portfolio of over 300 stores. With roughly 15 per cent of Morocco’s total population concentrated in the immediate catchment area of Zenata Eco-City, the mall is set to place the development on the retail investment map.