Umm Al Qura for Development & Construction Company, the owner, developer, and operator of Masar Destination, has announced the receipt of two letters of award for the development of the Hindawiya West and Hindawiya South sites, adjacent to Masar Destination. These projects have been awarded to a consortium comprising Umm Al Qura for Development and Construction, Makkah Construction and Development Company, and Rajhi United Real Estate Company. The combined area of 1.2 million square meters will be developed under the name 'Masar Gardens.' This announcement aligns with the company's launch of its new five-year strategy for 2026–2030.
Strategic Transformation
This step marks a strategic transformation in the company’s business model, reflecting its transition from developing a single flagship destination to becoming a multi-destination urban development platform in the western region of Saudi Arabia. The strategy strengthens the company’s ability to manage a diversified portfolio of urban and investment destinations with long-term economic and urban impact across Makkah, Jeddah, and Madinah.
Achievements of the Previous Strategy
The unveiling of the new strategy follows the successful achievement of the objectives of the 2021-26 strategy, which served as a roadmap for institutional transformation over the past five years. This journey led to the completion of Masar Destination’s main infrastructure and its transition into the operational phase. Additionally, the company developed a mature investment and financial platform and enhanced its institutional and operational capabilities. These achievements were reinforced by its listing on the Saudi Exchange (Tadawul), strengthening investor confidence and positioning the company for large-scale expansion.
From 2021 to 2026, the company established an integrated and scalable business model driven by accumulated expertise and strong financial performance. This included a compound annual growth rate exceeding 60% in revenues and more than 45% in net profit, with operating cash flows surpassing SAR 2 billion in the most recent fiscal year. The company also attracted approximately SAR 40 billion in development investments for the destination, forged more than 30 strategic partnerships, and developed a comprehensive governance framework. Advanced operational and development capabilities were built to support sustainable growth and readiness for the next phase.
New Strategy Focus
The new strategy is anchored in a planned and selective expansion approach that focuses on delivering sustainable value for place, community, and investors, rather than increasing the number of projects. This will be achieved through the development of high-quality urban destinations in Makkah, Madinah, and Jeddah, within a carefully targeted geographic focus that enhances operational integration and maximizes efficient deployment of resources and expertise.
The company is adopting a clearly defined approach to capital allocation, balancing growth with the maximization of returns while maintaining financial flexibility. It aims to manage an additional development portfolio exceeding SAR 50 billion, alongside deploying incremental capital investments ranging between SAR 3-5 billion over the course of the strategy. This reinforces its ability to deliver sustainable long-term growth.
Flexible Operating Model
In parallel, the company will adopt a flexible operating model that enables it to lead projects as a master developer or to participate as a partner and development manager, in line with defined investment criteria that ensure carefully considered decision-making aligned with its strategic direction.
The company confirms that Masar Destination will remain a central cornerstone within its future portfolio, with ongoing development of its extensions and expansions in accordance with approved plans. As its flagship project, Masar continues to serve as the primary foundation for the company’s activities and the model through which it will launch new urban destinations that contribute to enhanced quality of life and support economic growth across its target cities.
CEO Statement
Yasser Abdulaziz Abuateek, CEO of Umm Al Qura for Development & Construction, said: 'The launch of our new strategy represents a pivotal turning point in the company’s journey, as we move from a phase of capability building to one of considered expansion. The achievements of the past years have provided us with the confidence, expertise, and readiness to advance toward managing a fully integrated portfolio of urban destinations. Through this, we aim to create sustainable value for place, community, and investors within a robust governance framework that supports continued growth and contributes to generating long-term impact across the western region.'
Alignment with Saudi Vision 2030
This strategy reaffirms Umm Al Qura for Development and Construction’s commitment to supporting the objectives of Saudi Vision 2030 by developing high-quality urban destinations that enhance quality of life, stimulate investment, and strengthen economic integration within a growth model driven by value creation and sustainability.
