Dubai: Saudi Arabia's Public Investment Fund (PIF) is spearheading a transformation of Mecca with a $10 billion (Dh36.7 billion) commercial district project, altering the landscape of the city.
Following various ownership changes, two companies have emerged as the primary developers of commercial spaces near the Grand Mosque: Rua Alharam Almakki, fully owned by PIF, and Umm Al Qura Development and Construction, in which PIF acquired a 21.6 per cent stake last year.
Umm Al Qura is constructing a 3.65-kilometre pedestrian boulevard, part of which is already completed.
This area will include shops, hotel towers, and residential units, with plans for 38,000 hotel rooms and 13,000 residential units.
Over the past decade, construction in Mecca has surged, leading to the rise of five-star hotels and luxury apartments overlooking the Grand Mosque.
This expansion has also resulted in the demolition of older neighbourhoods, including the removal of an Ottoman-era fort in 2002, which was replaced by skyscraper hotels, one of which is designed to resemble London’s Big Ben.
