Saudi Railways Organisation (SRO) has begun prequalifying real-estate firms to prequalify for the project to develop 750,000 square-metres of land in Dhahran.

It is understood to be the first transit-oriented development (TOD) to be launched by the SRO and the first in Saudi Arabia.

The real-estate firms that will prequalify are expected to propose a plan to invest and develop the land located in Dhahran’s Ghounan area.

TODs usually comprise mixed-use developments that are designed to increase the utilisation of a public transportation system and help diversify the operator’s revenue streams.

The first TOD in the GCC is being undertaken by Dubai’s Roads & Transport Authority. The Dubai Union Oasis, which is being developed as a public-private partnership (PPP), is currently under bid.

The Dubai Union Oasis will be developed on the land above the Union station, where the Dubai Metro’s Green and Red lines meet. It is one of the first non-utility schemes in the emirate that will be procured under the PPP law, which came into force in November 2015.

In October 2015, Qatar Rail also invited firms to bid for the design of some 12 TODs on or adjacent to the Doha Metro stations. Unlike the Union Oasis, the Doha Metro TODs are understood to utilise traditional procurement method.