Knowledge Economic City, Kaden and Capital Hill signed a framework agreement on Monday, 7 September 2026, to establish a closed-ended private real estate investment fund. The launch remains subject to completing fund setup procedures and obtaining required approvals from competent regulatory authorities.

The agreement targets the creation of an integrated mixed-use scheme with a total value exceeding SAR 2.5 billion. Planned components include more than 1,500 residential units, approximately 30,000 square metres of leasable space, green areas and open spaces. The scheme links directly to the Hilton Hotel, Hilton Branded Residences and Multaqa AlMadinah, creating a connected hub for retail, dining, leisure and housing.

Three entities bring distinct roles to the partnership. Capital Hill will set up and manage the vehicle. Kaden joins as an investor, developer and operator across the full project life cycle. Knowledge Economic City acts as landowner and master developer. This structure aligns with Knowledge Economic City’s model of using dedicated funds and partnerships to fund projects, improving capital efficiency while avoiding total reliance on its own balance sheet.

The development sits within the 6.8 million square metre Knowledge Economic City master plan. Situated inside Madinah’s Haram boundary, the site spans a key transport corridor linking Prince Mohammed bin Abdulaziz International Airport, King Abdulaziz Road and the Haramain High-Speed Railway station. The wider master plan is designed to house around 200,000 residents and feature 42,000 hotel rooms.

Rising numbers of pilgrims and objectives under Saudi Vision 2030 continue to drive local property demand. The new scheme supports national targets under the Housing Programme, the Pilgrim Experience Programme and the Quality of Life Programme.

Commenting on the agreement, Dr. Moath Al-Yahya, Chief Executive Officer of Knowledge Economic City, said: “This agreement reflects the development model we have adopted, which combines institutional capital with specialised expertise to develop distinctive projects, while Knowledge Economic City retains its role as landowner and master developer.”

He added: “Developing the project through a specialised real estate fund allows us to accelerate delivery and broaden the base of investors participating in Madinah’s growth, while adding sustainable residential and commercial capacity to meet the city’s growing demand.”

Eng. Mohammed Al Othman, Chief Executive Officer of Kaden, said: “We are proud to partner with Knowledge Economic City and Capital Hill on a project of this scale and significance in Madinah. Kaden participates in the project as developer, operator and investor, bringing its integrated approach and extensive experience in developing, managing and operating distinctive destinations to deliver an integrated destination befitting Madinah’s stature and meeting its growing needs.”

He added: “Madinah is one of the Kingdom’s most important growth markets, and this agreement reflects our confidence in its future and our long-term commitment to contributing to its urban and economic development through sustainable projects that create value for the community, investors and partners.”

Abdulaziz Almosa, Co-Founder and Chief Executive Officer of Capital Hill, said: “Capital Hill was established to institutionalise real estate in the Kingdom, connecting capital with quality real estate opportunities through an institutional model. It is our privilege to advance the transformation of Madinah, at a moment when the Kingdom’s new foreign ownership rules are opening its real estate market to a broader base of investors. Part of our focus is on building projects that support the growth of the Holy Cities and give visitors, pilgrims and residents a world-class lifestyle experience and this project helps deliver on that objective.”