Saudi Arabian property firm Banan Real Estate Company has finalised an agreement to construct a new hotel building in the Al Rahmaniya district. The firm announced the contract signing on 5 July 2026, following the initial project award on 2 July 2026, which corresponds to 1448-01-17 on the Islamic calendar. The estimated valuation of the development contract stands at 54,948,382 riyals.

Under the terms of the two-year contract, Banan Real Estate Company will act as both the developer and the marketer for the commercial project. The hospitality venue will occupy a land footprint covering 3284 metres within the Al Rahmaniya neighbourhood. The asset itself is owned by the Artal Fourth Real Estate Fund, a closed-ended real estate investment fund managed by Artal Financial Company.

The deal was formalised with Afaq Al Qimma Al Rabiaa Al Mutatawera Company, which is also known as Afaq Al Qimma Al Rabia Advanced Company. This corporate entity was established inside the Kingdom of Saudi Arabia specifically to acquire and hold real estate assets on behalf of the Artal Real Estate Development Fund IV.

There are notable financial connections linking the involved parties to the investment vehicle. Banan Real Estate Company maintains a direct ownership stake of 10.2 per cent in the fund. Additionally, Qimam Noshoz Real Estate Development Company, which operates as a subsidiary of Banan Real Estate Company, controls a further 38.2 per cent share of the fourth Artal Real Estate Development Fund.

Corporate executives expect the construction and marketing scheme to deliver a positive financial impact to the firm. The resulting business activity will begin to reflect in the revenues and earnings reports of Banan Real Estate Company starting from the second half of the 2026 fiscal year.