SAB Invest, the investment arm of Saudi Awwal Bank (SAB), has partnered with Retal Urban Development Company to launch a CMA-regulated real estate investment fund valued at SAR1.9 billion ($502 million) to develop a landmark mixed-use project in Riyadh.

The fund will finance the Retal Heights development, planned on a 19,000-square-meter site in Almalqa district, one of northern Riyadh’s most sought-after locations along King Fahad Road.

According to the companies, the fund has been structured to improve capital efficiency and strengthen risk management, with SAB providing financing of up to 50% of the total investment value. The partners said the commitment reflects confidence in the project’s long-term potential and the strength of the underlying asset.

The CMA-regulated structure is intended to attract institutional and qualified investors seeking exposure to Riyadh’s growing real estate market while delivering sustainable long-term returns.

Ali Al Mansour, Managing Director and CEO of SAB Invest, said the Retal Heights Real Estate Fund reflects the company’s focus on capital efficiency and strategic partnerships.

“By diversifying funding sources and collaborating with trusted partners, we are strengthening investor confidence and creating long-term value,” he said, adding that the project underscores SAB Invest’s role in enabling innovative, high-impact developments across the Kingdom.

The development will feature premium mixed-use towers designed to meet rising demand across Riyadh’s residential, commercial, and hospitality sectors. It is also expected to contribute to the city’s evolving skyline as Riyadh continues its rapid urban transformation.

Yasser Al Barrak, Chief Corporate and Institutional Banking Officer at SAB, said the fund demonstrates the bank’s commitment to supporting transformative developments through innovative financing solutions and long-term partnerships.

“We remain focused on enabling projects that align with Saudi Vision 2030 and strengthen Riyadh’s position as a global destination for investment and business,” he said.

Retal CEO Eng. Kamal bin Ahmed said the partnership brings together the strengths of both organizations to deliver a project that serves the needs of residents, businesses, and visitors.

“This project will set new benchmarks for quality and scale in Riyadh,” he said, adding that the development supports the city’s ambition to become a vibrant and globally competitive destination.

The fund aligns with the Royal Commission for Riyadh City’s strategic objectives to promote balanced real estate growth and sustainable urban development. It also supports Saudi Vision 2030’s goals of enhancing Riyadh’s competitiveness as a leading global city while attracting investment, business, and lifestyle opportunities.