Construction & Real Estate
The Leaders In Construction and Real Estate Law
Construction and Real Estate Legal Expertise in Saudi Arabia
Offices in Jeddah, Riyadh, and Dammam
AlGhazzawi & Partners’ Construction and Commercial Real Estate Practice has advised on thousands of matters involving some of the Kingdom’s largest transactions and projects. They include power stations, telecommunications systems, roads, railways, public spaces, real estate developments, and other complex projects.
We encourage our clients to involve our legal team in the early stages of a project in order to minimize the risks and exposure to claims and disputes, thereby helping them maintain good working relationships with other stakeholders and complete projects on time and on budget.
Through our cooperation agreement with Gowling WLG, we provide our clients with seamless access to a wealth of global construction and real estate knowledge.
We have assisted both domestic and international clients on all aspects of real estate including purchase and sale, financing and refinancing, foreclosures, leases, zoning issues, title examinations, title disputes, closings, and managing the relationship with regulatory authorities and other stakeholders involved in development projects including under the Public Private Partnerships (PPP) model.
About Our Real Estate and Construction Practice Group
As a leading Saudi law firm with over five decades of experience, we are proud of our active role in the unprecedented growth of real estate development in the Kingdom. Our team has advised on thousands of real estate matters involving some of the Kingdom’s largest transactions and projects. We continue to be the preferred and trusted legal advisors to some of the most prolific real estate investors and developers in the Region and around the world.
Notable Real Estate & Construction projects include:
- Advising a UAE bank and a Kuwaiti real estate conglomerate on their USD $3.2 billion investment in 8 towers in the City of Makkah.
- Aiding Jazan Economic City Land Limited and MMC International, a Malaysian company, on various matters related to the development and financing of Jazan Economic City.
- Advising Jeddah Development & Urban Regenerating Co. (JDURC), the commercial arm of the Municipality of Jeddah on setting up tenders to invite international consortia in developing various real estate projects known as Jeddah East; Jeddah Cultural and Social Centre, a 170,000 square meters Corniche to be rehabilitated and renovated and the Khozam Palace, a 690,000 square meters land in reviewing and advising on the relevant requests for proposals, information memoranda, the development agreements and the joint venture agreements and supervising the required legal due diligences, including advice on the tender process and all regulatory matters.
- Advising Al-Balad Al Ameen Development and Urban Regeneration, the real estate arm of the Makkah Municipality, on the formation of several urban development companies, involved in the development of several slums in Makkah Al Mukarramah, increase and entry of new shareholders and conversion of these companies to closed joint-stock companies, including drafting the shareholders’ agreement, in Makkah Al Mukarramah.
- Aiding Saudi Investment Group & Marketing Co. Ltd. (SIGMAC), on a number of development projects, including: Mixed-use project on Sultan Street, Jeddah, Arabian Business Centre, a nine-story commercial building on Prince Mohammed Street in Dammam, Al-Waha Mall in Dammam, Millennium Centre in Jeddah, a commercial building with a built-up and lettable area of around 9,000 square metres.
- Advising Jabal Omar Development Company, on the second biggest rights issue in Saudi Arabia in the total amount USD $688 million. Our services included advising on numerous issues relating to the slum areas in Makkah, and the public offering of the shares; the complexity of the transaction involved issues related to the property which most of the Makkah residents encounter in this Holy City.
- Advising a major closed joint-stock company on the development of an area of 1.7 million square meters in Makkah Al Mukarramah city including drafting the shareholders’ agreement, forming the company and increasing the capital of the company;
- Aiding a municipal company with several disputes over the partnership with the private sector and the liability of the municipal companies for the early termination of the development projects contracts and withdrawal of projects, in Makkah Al Mukarramah.
- Working with the Eastern Province Municipality in rendering comprehensive advice for forming a public company for executing a huge real estate development project for beautification of Dammam’s waterfront beach.
- Advising a municipal company, a subsidiary of the commercial arm of the Municipality of Makkah, on its development of 6.6 million square meters of land in Makkah city.
Construction – Notable Credentials:
- Acting for AL-Latifia Trading and Contracting Company, a leading large sized contracting company in its dispute with one of its subcontractors, a subsidiary of a UAE based construction conglomerate covering MEP works, for two of its customers, namely, General Organization for Social Insurance (GOSI) Hilton Group in Riyadh with claims and counterclaims exceeding USD $240 Million. The Arbitral Panel awarded Al-Latifia a sum in excess of USD $80 Million.
- Defending a Saudi power supplier in an ICC arbitration over a dispute arising out of the construction of a power plant;
- Representing a Saudi leading mega power plant construction and general contracting company on an arbitration case before the International Court of Arbitration of International Chamber of Commerce (Paris) in defending the client and filing a counterclaim of USD $25.66 million against the claimant on the principles of Sharia law and the laws of Saudi Arabia, which governed the contracts between the parties.
- Advising two Saudi leading contractors, as a co-counsel, about their dispute with a leading mega foreign contractor over the assignment and/or subcontract of an EPC contract of mega public transport project in Riyadh city, in accordance with the shareholders agreement concluded between them; the value of this EPC contract was in excess of USD $5.9 billion, successfully attending before the International Court of Arbitration of the International Chamber of Commerce in Geneva, Switzerland, as an expert on the administrative law in Saudi Arabia, and prepared several expert statements requested by the International Court of Arbitration about the project owner’s authority to exempt a contractor from the subjection to any of the administrative law provisions, under government project contracts.
- Advising a Singaporean Multinational in their dispute with a local contractor over construction of a large-sized industrial plant with claim amounts in excess of SAR 75 million. Negotiated an amicable settlement between the parties.
Infrastructure – Notable Credentials:
- Advising a Spanish-Saudi consortium on its USD $8.25 billion Phase 2 of the Haramain High Speed Railway Project connecting the two Holy cities of Mecca and Medina via Jeddah and advising on its overall transaction management in Saudi Arabia and on Sharia law; advising on all contractual aspects of the project beginning from assisting the prime contractor with the bid preparation to pre-qualification and later with the execution – a multi-billion US dollar transaction that required heavy involvement from our commercial and corporate team including but not limited to negotiations on behalf of the client with government ministries and authorities;
- Advising a leading Chinese railway construction company as the main contractor on a USD $2 billion Mecca Metro Project (Al-Mashaaer Al-Muqaddassah Metro) on all its legal issues relating to the Mega Project, drafting various agreements and contracts and coordinating and liaising on behalf of the company with all concerned ministries and agencies.
Contact Our Real Estate and Construction Legal Team
No matter the complexity or time-sensitive nature of your real estate and/or construction project, our lawyers have the experience and knowledge to help protect your interests. With offices located in Jeddah, Dammam, and Riyadh, we provide real estate and construction legal services to domestic and international clients across the Kingdom. Contact us to book a consultation.
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