Arcapita and KAEC Join Forces to Transform Industrial Infrastructure
In a groundbreaking move, Arcapita, the global alternative investment firm, and King Abdullah Economic City (KAEC) have officially signed a Memorandum of Understanding (MoU) during a prestigious ceremony in Bahrain. This strategic partnership aims to revolutionize the industrial landscape by focusing on developing cutting-edge warehousing facilities, boosting the growth of the Industrial Valley, enhancing operational capabilities within KAEC and the Kingdom, fostering innovation, and attracting foreign investment.
Game-Changing Collaboration
Under the terms of the MoU, Arcapita will leverage its expertise in creating top-tier built-to-suit industrial real estate facilities to oversee the development of warehouses tailored to meet the specific needs of potential tenants. This initiative is set to significantly contribute to the industrial and logistical growth of the region.
The MoU was signed by Eng. Majid Abdullah Matbouly, Chief Officer of the Industrial Valley & KAEC Special Economic Zone, and Isa Al Khalifa, Director of MENA Real Estate at Arcapita. This partnership symbolizes a shared dedication to constructing world-class industrial infrastructure and driving sustainable development in Saudi Arabia.
Shared Vision for Growth
Eng. Majid Abdullah Matbouly, Chief Officer of the Industrial Valley & KAEC Special Economic Zone, commented: “This MoU marks a significant milestone in KAEC’s mission to establish itself as a leading industrial and economic powerhouse. With Arcapita’s proven track record in global and regional asset management, we are confident that this partnership will elevate the Industrial Valley’s offerings, competitiveness, and global appeal.”
The partnership will grant KAEC access to Arcapita’s extensive global network of blue-chip tenants, attracting high-quality investors. Furthermore, the development will prioritize ESG-compliant warehousing projects to ensure environmental sustainability and operational efficiency, offering attractive risk-adjusted returns.
Driving Economic Growth
In addition to infrastructure development, the MoU outlines key promotional and operational roles for KAEC and Arcapita. As a strategic partner, KAEC will oversee involvement in KAEC-related activities and conferences with the aim of generating significant economic and industrial growth opportunities for the Industrial Valley, solidifying its position as Saudi Arabia’s premier industrial hub.
Isa Al Khalifa, Director of MENA Real Estate at Arcapita, added: “We are thrilled to collaborate with KAEC to establish modern industrial facilities that adhere to global standards, delivering innovative and environmentally sustainable solutions to our partners and stakeholders.”
Building a Sustainable Future
This partnership signifies a major milestone for KAEC, reaffirming its commitment to constructing a world-class industrial ecosystem. Through collaboration with Arcapita, KAEC aims to enhance its ability to attract foreign investors, offer cutting-edge ESG-compliant warehousing solutions, and expand its offerings to tenants and enterprises. This collaboration not only reinforces KAEC’s pivotal role in advancing the industrialization of the Saudi economy but also sets the stage for a new era of sustainable development, innovation, and global partnerships.
Arcapita is a globally recognized alternative investments firm specializing in private equity and real estate, boasting a track record of over 30 years and a total transaction value exceeding $32 billion. With offices in the US, UK, Saudi Arabia, UAE, Singapore, and affiliated offices in Bahrain, Arcapita is dedicated to driving economic growth and innovation.
King Abdullah Economic City (KAEC) stands as a beacon of modernity, offering a unique blend of lifestyle and tourism experiences while serving as a cutting-edge hub for manufacturing and logistics services. Spanning a vast area along the Red Sea coast, KAEC is a model for integrated economic cities, playing a crucial role in Saudi Vision 2030.
KAEC’s advanced infrastructure and investment-friendly regulatory environment make it an ideal platform for achieving the goals of Vision 2030, combining urban sophistication with promising economic opportunities. As a key player in attracting foreign investments, boosting tourism, creating jobs, and increasing non-oil exports, KAEC is vital to Saudi Arabia’s socio-economic development.
Thanks to its strategic location on the Red Sea coast, KAEC serves as a pivotal hub for global trade, offering seamless connectivity with King Abdullah Port, the Haramain High-Speed Railway, and the Saudi National Highway network. Through effective public-private partnerships, KAEC is poised to drive economic prosperity and shape the future of Saudi Arabia.
