Riyadh’s retail property market is a lively and progressing landscape, using a huge selection of opportunities for savvy investors. Based upon the comprehensive benchmarking report, here are some essential dynamics shaping this market:

Diversity in Residential Or Commercial Property Sizes: The marketplace showcases a vast array of residential or commercial property sizes, from massive shopping malls like Granada Center Mall with a Gross Leasable Area (GLA) of roughly 100,000 m TWO, to smaller sized retail hubs like Boulevard Mall, boasting a GLA of around 8,000 m TWO. This variety accommodates a broad spectrum of customer requirements and preferences.
Geographical Spread: Retail residential or commercial properties in Riyadh are not focused in a single location however are spread out across the city. This circulation permits a diverse financial investment technique, targeting various demographics and socio-economic segments.
Growth Prospects: The retail sector in Riyadh is growing, driven by aspects such as population, urbanization, and a shift in customer spending practices. This development trajectory recommends a promising future for retail investments in the area.
Quality and Standards: The chosen residential or commercial properties for the study are kept in mind for their high standards and quality tenants. This aspect is essential as it affects foot traffic, occupant retention, and general residential or commercial property worth.
Catchment Areas
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Catchment areas are a vital element of retail realty, particularly for malls, as they directly affect the potential success of these residential or commercial properties. In Riyadh’s retail landscape, comprehending these locations is vital for investors.

Here’s what the report exposes about catchment areas:

- Definition and Importance: A catchment area is the geographic location from which a mall or retail center draws its customers. It’s significant due to the fact that it affects foot traffic, sales potential, and eventually, the profitability of the retail residential or commercial property.
- Granada Center Mall: This shopping mall sticks out with its catchment location covering an exceptional 40.5% of Riyadh’s population. This high percentage shows its considerable effect and reach within the city.
- Al Nakheel Mall: With a catchment area that includes 35% of the city’s population, Al Nakheel Mall is another key gamer in Riyadh’s retail landscape. Its significant coverage shows its value as a retail location.
- Riyadh Park Mall: This shopping mall has a catchment that includes 32.1% of Riyadh’s population, marking it as a major tourist attraction in the city’s retail sector.
- Captive Population: Looking much deeper into the numbers, Granada Center Mall has the greatest share of a captive population, amounting to 23.8% of Riyadh’s total population. This shows a strong loyal consumer base that primarily frequents this shopping mall over others.
Quotation from the Report:

- “The Granada Center Mall covers 40.5% of the population.”
- “Al Nakheel Mall covers 35% of the population followed by Riyadh Park Mall with 32.1% protection.”
- “The Granada Center Mall has the greatest share of captive population of Riyadh City with 23.8%.”.
Lease Rates and Occupancy Trends

In the Riyadh retail real estate market, comprehending lease rates and tenancy trends is vital for making educated financial investment decisions.

- Granada Center Mall: As of August 2022, this shopping center, being among the biggest in Riyadh, reveals a tenancy rate of 64%. It is necessary to keep in mind that some parts of the shopping mall were under restoration at the time, which may have impacted this figure.
- Riyadh Park Mall: This mall, presently the biggest in regards to Gross Leasable Area, has an outstanding occupancy rate of 91.2%, suggesting high tenant retention and constant consumer traffic.
- Riyadh Gallery Mall: With an occupancy rate of 93.3%, this shopping mall stands as another essential gamer in the market, reflecting a strong and steady occupant base.
- Al Nakheel Mall: This residential or commercial property, important to the Arabian Center Group, reported an occupancy rate of 82.0%, showcasing its robust standing in the market.
- Lease Rates: While particular figures for lease rates per m two annually aren’t attended to each shopping center, the report shows that all the shopping malls included follow a comparable prices structure. This harmony recommends a market requirement, which can be an important element for financiers when assessing the potential roi.
Quotation from the Report:

- “Occupancy (Aug 2022): 91.2%” [Riyadh Park Mall]
- “Currently the second biggest shopping mall in Riyadh based on the Gross Leasable Area.” [Granada Center Mall]
- “Another large shopping mall in Riyadh. The tenancy is really great at 93.3%.” [Riyadh Gallery Mall]
- “A key residential or commercial property for the Arabian Center Group (Al Hukair Group).” [Al Nakheel Mall]
Investment Opportunities: Case Studies

Case Study 1: Riyadh Park Mall

Riyadh Park Mall stands as a shining example of an effective retail financial investment in Riyadh’s busy market. Here’s a thorough take a look at its qualities, making it a notable case study:

- Location and Area: Situated on Alamir Mohamed Ibn Saad Ibn Abdelaziz Road, Al Aqeek, Al Shimal, Riyadh Park Mall is strategically situated. It boasts a land area of 139,118 m TWO, providing ample area for a diverse variety of retail and home entertainment choices.
- Size and Structure: The mall incorporates a total built-up area of 241,220 m ² and a Gross Leasable Area (GLA) of 105,290 m ². This substantial size is distributed across 3 floors, supplying a huge range of renting options.
- Leasable Area Distribution: The leasable location is divided as follows:.

• First Floor: 38,499 m TWO
  . -Ground Floor: 63,687 m TWO
  . -Basement: 3,103 m ²
  . -This circulation enables a diverse mix of retail, dining, and entertainment outlets.
  
• Tenant Mix and Anchors: Riyadh Park Mall accommodates a substantial variety of anchor shops, further boosting its appeal. The variety in its occupant mix caters to a broad spectrum of customer choices.
  - Occupancy Rates: Since August 2022, the shopping mall had a high tenancy rate of 91.2%. This is a sign of its appeal among retailers and consumers alike, recommending a steady stream of foot traffic and consistent earnings generation.
  - Investment Appeal: Given its tactical area, sizable GLA, varied renter mix, and high tenancy rate, Riyadh Park Mall represents a robust financial investment chance. Its success elements act as a guide for what financiers must search for in potential retail residential or commercial property investments in Riyadh.
  Quotation from the Report:
  
  - “Address: Parcel No 418, Riyadh Park Mall, Alamir Mohamed Ibn Saad Ibn Abdelaziz Road, Al Aqeek, Al Shimal”.
  - “Acreage: 139,118 m2”.
  - “Total Built-up Area: 241,220 m2”.
  - “Gross Leasable Area: 105,290 m2”.
  - “Occupancy (Aug 2022): 91.2%”.
  Case Study 2: Granada Center Mall
  
  Granada Center Mall, a prominent retail location in Riyadh, provides valuable insights into the city’s retail property market. Let’s check out why it stands as a considerable case study for possible financiers:
  
  - Prime Location: The mall is located in Dammam, Ash Shohda, Ar Rawdah, tactically placed to draw in a broad consumer base.
  - Extensive Area: Covering an acreage of 421,330 m ², Granada Center Mall is one of the biggest in Riyadh. It has an overall built-up location of 318,064 m two and a Gross Leasable Area (GLA) of 102,080 m ²
  . -Leasable Area and Structure: The mall’s extensive leasable location is attentively dispersed over 2 floorings, improving the shopping experience. The floor-wise distribution is as follows:.
  
• First Floor: 60,027 m TWO
  . -Ground Floor: 42,052 m TWO
  . -Tenant Diversity: The mall hosts a variety of tenants, including regional and international brands, which deals with a broad group, increasing its appeal as a retail location.
  - Occupancy Rate: Despite being partly under remodelling, the shopping center kept a 64% tenancy rate as of August 2022. This figure is likely to enhance post-renovation, making it an appealing possibility for future development.
  - Investment Potential: Granada Center Mall’s size, place, and renter mix position it as a strong contender in Riyadh’s retail market. Its big GLA and restoration plans signal potential for value appreciation, making it an attractive alternative for financiers.
  Quotation from the Report:
  
  - “Address: Granada Center Mall, Dammam, Ash Shohda, Ar Rawdah”.
  - “Acreage: 421,330 m ² “.-” Total Built-up Area: 318,064 m ² “.-” Gross Leasable Area: 102,080 m TWO “.-” Occupancy (Aug 2022): 64% (some parts of the mall under restoration)“.
  Case Study 3: Al Nakheel Mall
  
  Al Nakheel Mall, a crucial retail residential or commercial property in Riyadh, emerges as an intriguing case study for financiers. Here’s an in-depth exploration of its functions:
  
  - Strategic Location: Located on Othman Bin Affan Road, Abi Sofian Ibn Harb, Mugharazat, Al Olaya, this shopping mall take advantage of its position in a populated and wealthy location of Riyadh.
  - Substantial Size and Offering: The shopping center covers an acreage of 238,769 m two with a total built-up location of 299,448 m ² and a Gross Leasable Area (GLA) of 81,322 m ². This comprehensive size helps with a diverse range of retail and leisure offerings.
  - Leasable Area Distribution Across Floors:.
  
• Second Floor: 20,767 m ²
  . -First Floor: 58,463 m TWO
  . Ground Floor: 2,091 m TWO- This circulation accommodates various retail and leisure experiences, attracting a wide consumer base.
  
• Tenant Diversity: Al Nakheel Mall’s renter mix consists of a variety of regional and international brands, drawing in a diverse group of shoppers and making sure stable footfall.
  - Occupancy and Investment Potential: Since August 2022, the shopping center reported a tenancy rate of 82.0%. This relatively high occupancy rate, combined with its size and place, marks Al Nakheel Mall as an appealing financial investment chance in the Riyadh retail market.
  - Additional Considerations: The mall belongs to the Arabian Center Group, adding to its trustworthiness and appeal. Its large GLA and diverse renter mix position it well within the competitive landscape of Riyadh’s retail residential or commercial properties.
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