| Introduction | Banan Real Estate Company is pleased to announce that its subsidiary, Emaar Al-Waseel Al-Mutamayyizah Company, has signed an agreement with Armah Sports Company for the development and leasing of a sports club located in Al Qirawan District, Riyadh, with a total contract value of SAR 110,400,000, excluding Value Added Tax (VAT). |
| Date of Announcement of the Award | 2026-09-05 Corresponding to 1448-03-23 |
| Contract Subject Matter | Development and leasing of a sports club in the Al-Qayrawan neighborhood in Riyadh |
| The Entity with Which the Contract was Signed | Armah Sports Company |
| Date of Signing the Contract | 2026-09-05 Corresponding to 1448-03-23 |
| Contract Value | The contract value is SAR 110,400,000, excluding Value Added Tax (VAT) (One Hundred Ten Million Four Hundred Thousand Saudi Riyals only). |
| Contract Details | Under this agreement, the subsidiary, Emaar Al-Waseel Al-Mutamayyizah Company, shall develop the land it owns, located in Al Qirawan District, Riyadh, for the development of a fully equipped and operationally ready sports club, excluding movable furniture and sports equipment.The two parties have also agreed that Armah Sports Company shall lease the sports club under a long-term lease agreement for a period of 20 years binding on both parties, commencing from the date the club is fully completed and handed over in an operationally ready condition.The annual rental value shall be SAR 5,520,000, exclusive of Value Added Tax (VAT), with a total rental value over the term of the agreement of SAR 110,400,000, exclusive of VAT. |
| Contract Duration | 20 years, binding on both parties. |
| Financial Impact and the Relevant Period | As Banan Real Estate Company owns a 60% stake in Emaar Al-Waseel Al-Mutamayyizah Company, the company is expected to generate rental income upon completion of the project, which is expected to be completed within 24 months, in addition to the direct development income that will be generated by Banan Real Estate Company as a result of carrying out the development works. |
| Related Parties | N/A |
