Korean consortium inks $20bn Saudi housing deal
Hanwha Engineering & Construction and Daewoo Engineering along with Saudi Pan Kingdom will build 100,000 homes in Dahiyat Al Fursan
A consortium that includes Korean contractors Hanwha Engineering & Construction and Daewoo Engineering & Construction has won a $20bn deal to build 100,000 homes in Saudi Arabia’s Dahiyat Al Fursan new city.
The third member of the team will be Riyadh-based contractor Saudi Pan Kingdom (SAPAC), according to Global Construction Review.
A memorandum of understanding was signed in Seoul between Saudi housing minister Majed bin Abdullah Al-Hogail and representatives of the three builders, as well Kang Ho-in, South Korea’s minister of land, transport and infrastructure, BusinessKorea reports.
A spokesman for Hanwha said: “We will supply 100,000 houses and city infrastructure in Alfursan near the Riyadh International Airport and this will be a landmark deal for Korea’s overseas construction history in terms of the size.”
The agreement includes an exchange of expertise through workshops and conferences.
The new city is one of the pledges made by King Salman bin Abdulaziz’s when he assumed the throne of Saudi Arabia last year, and will be directly funded by the government.