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    Home » EOI and RFQ Open for strategic Makkah Healthcare and Retail Development Under PPP
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    EOI and RFQ Open for strategic Makkah Healthcare and Retail Development Under PPP

    usman siddiquiBy usman siddiquiJuly 1, 2025Updated:July 2, 2025No Comments50 Views
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    Photo by Omar Al-Ghosson on Unsplash
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    The Holy Makkah Municipality (HMM), working with the Ministry of Municipalities and Housing (MOMAH) and the National Center for Privatization & PPP (NCP), has announced the Expression of Interest (EOI) and Request for Qualification (RFQ) for a major joint development on Prince Sultan bin Abdulaziz Road (Makkah–Alhada). This project, known as the Prince Sultan Road project, will follow a Public-Private Partnership (PPP) model under a Build-Own-Operate-Transfer (BOOT) contract with a 30-year term. It spans 219,416 square meters of prime land owned by the government. The site’s location offers direct access to Al Haram and lies near essential landmarks. The development includes a 200-bed long-term care hospital, a 100-bed multi-specialty hospital, a regional shopping mall, and several big-box retail outlets. By involving the private sector in such infrastructure, Saudi Arabia aims to enhance services and accelerate progress toward Vision 2030 goals.

    This initiative focuses on delivering healthcare and retail solutions that meet Makkah’s growing demands. It brings two new hospitals: one offering 200 long-term care beds and another with 100 beds for specialized treatments. These facilities will serve both local residents and pilgrims who visit the city each year. Alongside healthcare, the project features a large regional mall and retail zones, boosting commerce and job creation. As Saudi Arabia continues to diversify its economy, it has already attracted more than $50 billion in PPP investments. These span sectors such as transport, utilities, and social infrastructure. Therefore, this project builds on an established framework. The Prince Sultan Road project combines commercial activity with vital public services in one urban space. That integration makes it a strong model for modern city planning. Furthermore, it reflects the Kingdom’s strategy to enable growth through collaboration with private investors.

    The BOOT model ensures a clear division of roles between public and private partners. Investors will finance, build, operate, and manage the project for the full 30-year term. After that, ownership will return to the Holy Makkah Municipality, ensuring long-term public benefit without the need for upfront government spending. Investors will also handle leasing and operations, which opens reliable revenue channels. Several similar BOOT-based initiatives, including the Riyadh Metro and water treatment projects in Jeddah, have proven highly effective in recent years. As a result, investor confidence in the model continues to grow. Transparency and oversight help ensure consistent service delivery and operational success. The EOI and RFQ phase invites qualified developers to take part in a rare opportunity. Clearly, the Prince Sultan Road project offers not only commercial potential but also the chance to contribute meaningfully to Makkah’s future.

    Source:

    The National Center for Privatization & PPP

    Health Housing and Urban Development Saudi Arabia Social Infrastructure
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