Key Takeaways
- • Knowledge Economic City, Kaden, and Capital Hill have signed a Memorandum of Understanding to establish a closed-ended private real estate investment fund exceeding SAR 2.5 billion ($667 million) for development in Madinah, Saudi Arabia.
- • The fund will finance "Multaqa AlMadinah 2," an integrated mixed-use destination comprising more than 1,500 residential units and approximately 30,000 square metres of leasable commercial space, plus green areas and open spaces.
- • Capital Hill assumes fund management responsibilities; Kaden participates as developer, operator, and investor; Knowledge Economic City contributes as landowner and master developer—a three-party structure designed to combine complementary expertise.
- • Knowledge Economic City operates a 6.8 million square metre master plan within Madinah's urban boundary and is listed on the Saudi Exchange (Tadawul), operating under the Economic Cities and Special Zones Authority's supervision.
- • The project aims to strengthen real estate and investment activity in Madinah while adding sustainable residential and commercial capacity to support the city's urban and economic growth.
Summary
Knowledge Economic City Company, alongside private real estate investors Kaden and Capital Hill, have formalized a partnership through a Memorandum of Understanding to establish a substantial closed-ended private real estate investment fund targeting development in Madinah. The fund will exceed SAR 2.5 billion in capital and is contingent upon completion of regulatory establishment procedures and receipt of required approvals from Saudi competent authorities.
The three-party structure clearly delineates operational roles to maximize project execution efficiency. Capital Hill will establish and manage the fund; Kaden will serve as developer, operator, and investor; and Knowledge Economic City will contribute its position as landowner and master developer. Knowledge Economic City, listed on Tadawul (the Saudi Exchange), operates under the Economic Cities and Special Zones Authority and manages a 6.8 million square metre master-planned development within Madinah's urban boundaries.
The flagship project, branded "Multaqa AlMadinah 2," will deliver an integrated mixed-use destination with significant scale. The development will include more than 1,500 residential units and approximately 30,000 square metres of leasable commercial space, supplemented by green spaces and open areas. The mixed-use positioning combines residential and commercial components intended to create a vibrant urban destination that attracts both residents and commercial tenants.
The initiative reflects Saudi Arabia's broader urban development strategy centered on Madinah's economic transformation. By combining residential supply, commercial leasable space, and amenity-focused public areas, the project targets sustainable capacity additions to the city's real estate market while positioning Madinah as an emerging investment hub beyond its historical religious significance. The MOU formalizes intent to proceed, with fund establishment and project launch dependent on regulatory clearance from Saudi authorities.
The three-party structure clearly delineates operational roles to maximize project execution efficiency. Capital Hill will establish and manage the fund; Kaden will serve as developer, operator, and investor; and Knowledge Economic City will contribute its position as landowner and master developer. Knowledge Economic City, listed on Tadawul (the Saudi Exchange), operates under the Economic Cities and Special Zones Authority and manages a 6.8 million square metre master-planned development within Madinah's urban boundaries.
The flagship project, branded "Multaqa AlMadinah 2," will deliver an integrated mixed-use destination with significant scale. The development will include more than 1,500 residential units and approximately 30,000 square metres of leasable commercial space, supplemented by green spaces and open areas. The mixed-use positioning combines residential and commercial components intended to create a vibrant urban destination that attracts both residents and commercial tenants.
The initiative reflects Saudi Arabia's broader urban development strategy centered on Madinah's economic transformation. By combining residential supply, commercial leasable space, and amenity-focused public areas, the project targets sustainable capacity additions to the city's real estate market while positioning Madinah as an emerging investment hub beyond its historical religious significance. The MOU formalizes intent to proceed, with fund establishment and project launch dependent on regulatory clearance from Saudi authorities.
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