PECSA wins $899.6 million Hotel Towers Project in Al-Madinah Al-Monawarah
October 9, 2016
On Sunday the 9th of October, 2016; PECSA signed a $899.6 million hotel Project in Al-Madinah Al-Monawarah with the Saudi Company for Real-Estate Development & Investment (Dar Alhijrah). The Contract was signed by His Excellency Mohammed Almazyad, The Chairman of the Foundation and Supervision Committee of Dar Alhijrah and Deputy Minister at the Ministry of Finance. From PECSA’s side, it was signed by Myungju CHOI, CEO of PECSA. The signing Ceremony took place in Dar Alhijrah’s HQ in Riyadh.
PECSA, which is a Saudi-Korean Joint Venture between POSCO E&C and the Public Investment Fund (PIF), was awarded the construction of 5 tower hotels in Dar Alhijrah’s Commercial and residential Project in Al-Madinah Al-Monawarah Package 4A.
The $ 899.6mil project will construct Five 4-star hotel towers with a capacity of 3,000 rooms at approximately 350,000 m2 area located to the west of the holy mosque; the construction will take 28 months.
PIF, the Government arm in charge of diversifying the investments of the national economy of Saudi Arabia through Saudi Vision 2030, has established PECSA by partnering with POSCO E&C, which is a global Engineering and Construction leader in South Korea, in order to transfer Advanced Technologies, Expertise, and Know-How into the Kingdom. PECSA is actively pursuing participation in various engineering and construction fields such as, urban development, housing and infrastructure construction to keep pace with Saudi Vision 2030.
Mr. Myungju CHOI, CEO of PECSA, pointed that Madinah city, which foster the Holy Mosque and Tomb of Prophet Mohammad-pbuh- is struggling from shortage of accommodations; completing Madinah Al Monawara Package 4A project, is expected to partially cover the shortage in the market. He also pointed out that PECSA is currently assessing its priorities for participation in Madinah Hajj City project which is to expand capacity of pilgrims from 8 million to 30 million. Madinah Haj City project is considered one of the projects that will contribute to the realization of Saudi Vision 2030, in addition to various projects that PECSA is involved in.