Almajdiah Real Estate Company Announces the Signing of a Framework Agreement for the Development of the Eastern Hindawiyah Area Project in Makkah City

Almajdiah Real Estate Company signed a framework agreement on June 24, 2026, for the development of the Eastern Hindawiyah Area Project in Makkah City as part of a consortium with Aljadah Al Oula and Rakaz Real Estate.
The consortium, in which Almajdiah holds a 35% ownership share, will receive a development fee of 15% of actual costs, a 2.5% brokerage fee on project sales, and a performance incentive of 14% above a target 8% Internal Rate of Return (IRR).
The agreement establishes a closed-ended private real estate investment fund managed by Jadwa Investment Company to acquire and develop project land, appointing the consortium as the exclusive developer for infrastructure and land servicing.
A positive financial impact is expected during the project development phases, with precise values to be determined following the execution of the final Development Agreement and approval of project costs.

Element List	Explanation
Introduction	With reference to Almajdiah Real Estate Company’s (“Almajdiah”) announcement published on 15/12/1447H corresponding to 01/06/2026G regarding the receipt of the award notification for the development of the Eastern Hindawiyah Area Project in Makkah City as part of the development consortium, the Company announces the signing of a framework agreement for the development of the project with the consortium partners comprising Aljadah Al Oula Real Estate Development Company, Almajdiah Real Estate Company, and Rakaz Real Estate Company.
Date of Announcement of the Award	2026-06-09 Corresponding to 1447-12-23
Contract Subject Matter	Entering into a framework agreement for the development of the Eastern Hindawiyah Area Project in Makkah City, as a continuation of the project award procedures by the Royal Commission for Makkah City and Holy Sites to the development consortium, with the participation of Jadwa Investment Company in its capacity as the Fund Manager. The agreement aims to establish the legal and regulatory framework governing the development of the project, define the rights, obligations, and responsibilities of the parties, and regulate the project implementation mechanism in accordance with the applicable laws, regulations, and the executive agreements to be entered into at a later stage.
The Entity with Which the Contract was Signed	The Royal Commission for Makkah City and Holy Sites, Jadwa Investment Company in its capacity as the Fund Manager, in addition to the members of the development consortium comprising Aljadah Al Oula Real Estate Development Company, Almajdiah Real Estate Company, and Rakaz Real Estate Company.
Date of Signing the Contract	2026-06-24 Corresponding to 1448-01-09
Contract Value	The development fee payable to the consortium shall be 15% of the project’s actual costs, which will be finally determined under the Development Agreement to be signed with the Fund Manager following the completion of the approved studies and design plans. The consortium shall also be entitled to a performance incentive equivalent to 14% above the Fund’s target Internal Rate of Return (IRR) of 8%, in addition to a brokerage fee of 2.5% of the project sales value.
Contract Details	The framework agreement follows the award of the Eastern Hindawiyah Area Development Project in Makkah City to the development consortium and aims to establish the legal and regulatory framework for the project, define the rights and obligations of the parties, and set out the implementation mechanism. The agreement also includes the establishment of a closed-ended private real estate investment fund to acquire and develop the project land, the appointment of Jadwa Investment Company as the Fund Manager, and the appointment of the consortium as the exclusive developer of the project, in preparation for executing development works, infrastructure works, land servicing, and land preparation activities for development and investment purposes in accordance with the relevant laws and regulations.
Contract Duration	The agreement shall become effective from the date of signing and shall remain in force until the completion of the obligations and works related to the project or its termination in accordance with its terms and conditions.
Financial Impact and the Relevant Period	The agreement is expected to have a positive financial impact on the Company during the project development phases. However, the value and timing of such impact cannot currently be determined with precision, as they will become clearer following the establishment of the fund, execution of the Development Agreement, and approval of the final project costs. Any material financial impact will be announced in due course.
Related Parties	Managing Director and Board Member Mr. Abdulsalam bin Abdulrahman Al Majed is a Board Member of Aljadah Al Oula Real Estate Development Company.
Additional Information	The Eastern Hindawiyah Project is considered one of the key developmental projects in Makkah City and forms part of the broader efforts to develop upgraded neighborhoods, enhance quality of life, and promote sustainable urban development in the Holy Capital. Almajdiah Real Estate Company participates in the project development consortium with a 35% ownership share pursuant to the consortium agreement.