Figures
Saudi Arabia Real Estate Market Review Q1 2024
May 27, 2024 15 Minute Read
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Key Takeaways
- Saudi Arabia’s GDP is projected to increase by 2.0% in 2024.
- Headline inflation fell 1.6% in March 2024.
- Total employment totalled 15.9 million with yearly growth of 7.7%
- In April 2024, Purchasing Manager Index (PMI) for Saudi Arabia scored 57.0
- Riyadh’s Grade A offices average rents increased by 11.8% year on year reaching SAR 1,975 per square metre.
- Average rents for Grade A offices in Jeddah cost SAR 1,406 per square metre after rising by 13.6% year on year.
- Grade A office in Dammam registered an increase of 8.0% at SAR 1,017 per square metre.
- In the residential market, Riyadh’s average villa prices improved to SAR 5,808 per square metre incurring a 3.6% annual increase.
- Average villa prices in Jeddah and Khobar expanded on a yearly basis by 0.2% and 3.1% standing at SAR 5,658 and SAR 3,626 per square metre.
- Average apartment prices in Riyadh, Dammam and Khobar surged by 8.4%, 0.9% and 0.4% arriving at SAR 4,939, SAR 2,813 and SAR 3,397 per square metre.
- Average apartment price in Jeddah softened by 1.1% as it settled at SAR 3,952 per square.
- In Q1 2024, average industrial rents registered upticks across key cities including Riyadh, Jeddah, Dammam at the following rates 8.1%, 3.1% and 4.6%.
- Khobar’s average industrial rent contracted by 2.8% landing at SAR 231 per square metre.
- Hospitality sector key performance indicators in Saudi Arabia improved overall with average occupancy registering an uptick of 0.1 percentage point and ADR rising by 11.8% resulting in RevPAR registering 12.0% growth in the 12 months to March 2024.
- Although Riyadh’s average occupancy fell by 4.4 percentage points, ADR grew by 26.8% leading to an expanded RevPAR at 18.9%.
- Jeddah’s average occupancy and ADR surged by 6.0 percentage points and 3.2% each producing a 13.9% increase in its RevPAR.
