Masar, the developer of Makkah’s Masar Destination in Saudi Arabia, awarded $1.1 billion in construction contracts. These projects will expand hospitality and retail facilities in the holy city.
The developer selected Mounes Mohammed Elshayeb and Partners for Civil Construction Company (MOBCO) and BEC Arabia Contracting Company to execute the work. Consequently, domestic contractors will lead this high-value project.
Masar Destination covers multiple land plots in Makkah and aims to create hotels, shopping centres, and leisure facilities for visitors.
MOBCO received Package A, valued at 3.2 billion riyals, which covers four hospitality towers and two commercial centres on six plots in Zone 1. Meanwhile, BEC Arabia secured Package B, worth 899 million riyals, including three hospitality towers on two plots in Zone 3.
The two companies will complete construction within 30 months. Therefore, the project will progress steadily with a focus on superstructure development.
Earlier, Al-Inma Makkah Development Fund I and II terminated previous contractors due to material breaches. The new contracts give the project a fresh start.
The awards represent a major investment in Makkah’s tourism and retail infrastructure. Moreover, they will boost employment and stimulate the regional economy.
Masar expects the projects to attract more visitors while enhancing the city’s hospitality offerings. Additionally, analysts view the initiative as a strong signal of confidence in Saudi Arabia’s construction sector.
MOBCO and BEC Arabia’s involvement ensures local contractor participation. Furthermore, the project will support knowledge transfer and sustainable construction practices.
The Masar Destination project combines hotels, retail, and mixed-use spaces. Thus, it will create a strategic urban hub for residents and pilgrims alike.
Officials emphasized timely completion to meet tourism and religious visitation targets. Any delays could affect projected returns and economic benefits.
Masar plans additional phases to expand the project. Future investments may include more hotels, retail outlets, and entertainment facilities to meet rising demand.
Experts also noted that the $1.1 billion contracts align with Saudi Arabia’s Vision 2030. They reinforce urban development, tourism growth, and investment opportunities across the Kingdom.
Overall, the Masar Makkah contracts demonstrate Saudi Arabia’s commitment to regional development while elevating Makkah’s global tourism appeal.
