Riyadh invites contractors to submit bids for IT park project

01 March 2012

Client sets submission date of 19 May for the second phase of information technology and communication complex in Riyadh

The local Rayadah Investment Company has invited contractors to submit bids for the main construction contract on the estimated SR3.5bn ($853m) second phase of its Information Technology & Communication Complex (ITCC) in Riyadh.

Rayadah has set a submission date of 19 May for the construction tender. The second phase will include residential and retail facilities in addition to a vocational centre.

The ITCC development is located in the Nakheel district of Riyadh and is the kingdom’s first dedicated information technology (IT) park. The park is being developed in two phases.

For the first phase of the development, Rayadah awarded contracts worth a total of SR3.4bn in 2009. A joint venture of the local Al-Rajhi Projects & Construction and Dubai-based Al-Habtoor Leighton Group was awarded the largest contract, a SR2.59bn deal to build four 20-storey office towers. The local Al-Yamama Company was awarded the third contract, worth SR188m, to build housing. The local Contracting & Construction Enterprises (CCE) was awarded a SR573m contract to build a five-star hotel with 270 rooms and a convention centre.

In 2011, CCE was awarded another construction contract on the scheme, an estimated SR600m deal to build a data centre.

The first phase of the ITCC complex covers 500,000 square metres, with phase two scheduled to cover a further 300,000 sq m.

Rayadah is the investment arm of the state-owned Public Pension Agency. It is also the client for a much larger scheme, the SR28bn King Abdullah Financial District (KAFD), which comprises several major commercial centres. KAFD is located on a 1.6 million sq m site north of Riyadh and will offer commercial and residential districts, along with hospitality, retail and recreational facilities. The development is located along King Fahd Road to the north of Riyadh.

Contractors were recently invited to submit bids for the main construction package on the estimated SR1bn Saudi Stock Exchange (Tadawul) tower at the KAFD scheme.

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