UAE developer Arada enters Syria with $7 billion 'New Damascus' mixed-use project

Dubai: UAE-based developer Arada is entering Syria with a $7 billion (Dh25.7 billion) mixed-use development near Damascus, in one of the company's biggest international expansion moves.

Arada has partnered with the Syrian Sovereign Fund, a state-owned institution, to develop the project on a four million square metre site west of Damascus, near the Mezzeh district, it announced on Tuesday.

The development, known as New Damascus, is planned as a fully integrated community with 11,000 homes, 500 hotel rooms, 1,000 serviced apartments, education facilities, a 300-bed hospital, offices, retail and commercial space, parks and government service buildings.

Arada said the master plan will be developed in partnership with relevant Syrian government authorities and aligned with the country's reconstruction priorities.

No construction timeline, project completion date or financing structure was provided in the announcement.

Arada said it is now working with Syrian authorities on the master plan for New Damascus, while discussions over other potential development sites are also under way.

The project will include a 700,000-square-metre public park, with the site located on a plateau around 10 minutes from Damascus city centre and 25 minutes from Damascus International Airport, according to the developer.

The residential component will comprise apartments, villas and townhouses, as well as branded residences.

Education facilities are planned for 5,000 students, alongside healthcare facilities including the 300-bed hospital.

The development model draws on Arada's UAE communities Aljada and Masaar, according to the company.

The scale of the project places it firmly in the category of large master-planned developments rather than a standalone residential scheme, with residential, hospitality, retail, education and healthcare components planned within the same community.

The Syria project marks Arada's entry into a fourth market and comes as the developer expands its international footprint.

Arada said its overall project pipeline is now valued at $42 billion, with more than 66,000 homes across the UAE, UK, Australia and Syria.

The company said it is also working with the Syrian Sovereign Fund to identify further development sites across Syria.

That makes the announcement potentially broader than a single Damascus project, although no additional sites or project values were disclosed.

The agreement was signed in Damascus by Arada Group CEO Ahmed Alkhoshaibi and Mohammed Al Khayyat, Board Member and CEO of the Real Estate Development Sector at the Syrian Sovereign Fund.

Arada Executive Vice Chairman Prince Khaled bin Alwaleed bin Talal said the project comes at a significant point for the country.

“Syria is at a pivotal moment in its history, and the scale of the opportunity to rebuild and invest in its future is significant.”

He said Arada's experience in developing large communities would be applied to the project, adding that the company aims to create jobs, develop local skills and support Syrian businesses.

“Working with the Syrian Sovereign Fund, our organisation is uniquely well-placed to bring that experience to bear here, creating jobs, developing local skills, supporting Syrian businesses and contributing to the local economy.”

He added, “Arada’s success has been shaped by our willingness to make long term investments where others might hesitate with partners who share our vision to create genuine communities.”

The Syrian Sovereign Fund was established by Presidential Decree No. 113 on June 24, 2025, with a mandate to manage and invest state assets and generate sustainable returns for the national economy.

Mohammed Al Khayyat said the partnership was intended to demonstrate Syria's efforts to attract international investment.

“Syria welcomes businesses and companies from around the world, and this strategic partnership with Arada is a powerful demonstration of what that means in practice.”

He added that the fund's mandate was to attract investment that creates long-term value for Syrians.

“We’re grateful to Arada for their partnership and we look forward to working together to deliver projects that reflect the ambition and resilience of the Syrian people.”