The local Al-Shubaili Grouphas successfully closed a share offering for a proposed $430 million real estate project in Al-Khobar. All 35,000 shares in the 1.75 million-square-metre Shubaili High Rise development were sold to investors at a public offering on 16 April. The shares, which were priced at SR 27.5 ($7), represent individual stakes in 50-square-metre parcels of the property.
About 80 per cent of the first phase of excavation and piling work has been completed, the chairman of the group, Khaled al-Shubaili, told investors. The share offering will help to finance the next stage of the project, worth an estimated $75 million, which will involve dredging work to create a network of sea canals inside the complex. A series of 14-storey residential towers will surround a central 400,000-square-metre commercial centre. The entire development will occupy 1,730 metres of seafront in central Al-Khobar, near the King Fahd causeway which links Saudi Arabia with Bahrain.
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