Dr. Soliman Abdel Kader Fakeeh Hospital Company Announces Signing of a Long-Term Land Lease Agreement in Jizan city

and its subsidiaries ("Fakeeh Care Group", "Group", "Fakeeh

Care") announces that it has entered into an agreement with

Oloof Development Company, a 100% subsidiary of Jizan

Municipality, on 1/1/2026G (corresponding to 12/7/1447H) to

lease a plot of land in a strategic location in Jizan city with a

total area of 34,581 sqm for establishing a comprehensive

healthcare facility for 50 years.

for 25 years at market rent, with a further 25-year extension

subject to Oloof Development Company’s term remaining in

force.

The tenant will Build and Operate a Healthcare Facility for the

period of the Lease and its extensions, under a

Build–Operate–Transfer (BOT) structure.

Rent payments (excluding VAT):

• One-time payment upon signing: SAR 1,729,771

• Years 2 and 3: Grace period (no rent)

• Years 4-10: SAR 13,924,659

• Years 11-50: SAR 202,342,755

maintain a healthcare facility and ancillary services.

Any other use requires the lessor’s prior approval. The

contract also provides the option of adding a health

education offering, subject to approvals from relevant

authorities

• The tenant shall obtain all required licenses and

approvals from relevant authorities for starting the

project by the end of the grace period (end of Year 3)

Jizan Municipality)

• Dr. Soliman Abdulkader Fakeeh Hospital Company

(DSFH)

(Corniche Road) with a total area of 34,581 sqm.

• The designated activity for the asset under the

contract is the establishment and operation of a

healthcare facility and ancillary services

secures a hospital site on a prime coastal plot in Al-

Shati within a fast-developing corridor in Jizan and its

surrounding areas, where demand is supported by

population growth and an expanding insured base

linked to industrial and infrastructure-led workforce

inflows.

• The lease structure enables development without

acquiring the land, supporting disciplined capital

allocation toward construction, fit-out, and ramp-up.

• The agreement provides flexibility to add a health

education facility on the same plot and aligns with

Fakeeh Care Group’s geographic expansion plans and

strengthening of services in areas where the Fakeeh

Care brand has strong recognition.

upon receipt of the Land and will recognize the Lease

on its financial statements in accordance with

applicable International Financial Reporting Standard

(IFRS) as adopted by SOCPA.

• The financial impact of this agreement is expected to

commence upon the medical facility construction and

the start of operations. The Company will announce

any material developments and the expected financial

impact in due course and in accordance with

applicable requirements.