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

Rayadah received bids from contractors on 19 May for the main construction deal. The second phase of the project will include residential and retail facilities in addition to a vocational centre. At least 10 companies had been prequalified for the tender.

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.

Rayadah is also the client for a planned large real-estate development in the Obhur district of Jeddah.